July 2012

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Page 49 of 84

LOCAL EDITION ORIGINATION companies toward mutual integrations—with a guarantee that the LOS will get the return it is seeking," Black added. Appraisal Firewall is also designed to ensure compliance with industry regulations. Founded in 1989, Washington- based SharperLending has counted more than 100 million mortgage transactions completed through its technological platform. Memphis Drops Suit With Agreement From Wells Fargo ACCEPTING A $7.5 MILLION DEAL, THE CITY OF MEMPHIS SETTLES ITS PREDATORY LENDING LAWSUIT AGAINST THE FINANCIAL INSTITUTION. TENNESSEE // After filing suit in January 2010 for predatory lending practices, the city of Memphis and Shelby County have dropped charges against mortgage giant Wells Fargo. The two parties reached an agreement that requires Wells to commit $7.5 million to homeownership initiatives in Memphis and Shelby County. Of the total, $4.5 million will go to down payment and home renovation assistance in amounts up to $15,000 for qualifying fami- lies and individuals. The remaining $3 million will agreement alleged that "Wells Fargo targeted minority commu- nities for predatory practices that have resulted in a disproportion- ate and unnecessary number of foreclosures in these communi- ties," according to the court filing. The document cited statistics The lawsuit that led to the to support its claim, stating that "[o]ne out of eight Wells Fargo loans in the county's predomi- nantly African-American neigh- borhoods results in foreclosure, but the same is true for only one in 59 loans in its predominantly white neighborhoods." nouncing in Memphis and Shelby County today continues our ongoing commitment to helping communities succeed across the country," Collier added. Wells Fargo will kick off its "The investment we're an- laboration between Wells Fargo and NeighborWorks America, a nonprofit organization that "We're glad that Wells Fargo decided to engage in a dialogue that led to this collaboration." — Mark Luttrell, Shelby County Mayor homeownership program in the Memphis area later this year. The program is modeled after another program the bank has initiated so far in five cities, NeighborhoodLIFT. NeighborhoodLIFT is a col- "Anyone is welcome to attend," the spokeswoman said. "You don't have to get your mortgage through Wells Fargo" to participate, she added. UWM Launches 'Elite' Program for Mortgage Brokers THE MORTGAGE LENDER DEBUTS A NEW RATES AND PRICING MODULE THAT TARGETS GREATER INTEGRATION AND ACCESS FOR BROKERS. MICHIGAN // Brokers will have a new resource to tap into, with the launch of United Wholesale Mortgage's (UWM) Elite program. The mortgage lender will use the new product to offer brokers access to "the best conventional rates and pricing in the industry," according to a company statement. UWM plans to use the new broker initiative to target "elite" borrowers in the marketplace. The company noted that members of Elite will gain access to high-quality borrowers who "expect the best in service and price." "We're excited to offer Elite to ceeding 120 percent of the median income in Memphis and Shelby County are eligible for grants. Grant recipients will be go to the city of Memphis and Shelby County to be distributed to local programs promoting eco- nomic stability, financial literacy, and public safety. Those with incomes not ex- fore the five-year minimum, he or she must repay the prorated por- tion of the grant for the amount of time left. "We're glad that Wells Fargo required to attend an eight-hour homebuyer education session and must live in the newly purchased home for at least five years. If a grant recipient moves be- decided to engage in a dialogue that led to this collaboration, County Mayor Mark Luttrell. 48 | THE M REPORT " said Shelby bank's foreclosures took place in neighborhoods with predominately African-American residents, while only 15.1 percent of its loans were located in these neighborhoods, according to the court filing. Wells Fargo continues to deny Furthermore, 43.2 percent of the provides housing counseling and education services. The program provides grants similar to the ones Wells Fargo will now be offering in the Memphis area. Having launched earlier this these claims but ultimately de- cided "it was in the best interests of everyone involved to work together rather than to continue to be involved in a protracted legal fight," said Leigh Collier, Wells Fargo regional president for the Mid-South. our valued broker community in order to exceed the expectations of their elite borrowers," said Mat Ishbia, president of UWM. "These types of borrowers deserve preferred conventional rates and pricing, and since every UWM program is accompanied by our world-class customer service, Elite offers the best of both worlds." Ishbia went on to add, "Our year, NeighborhoodLIFT has provided grants for 1,400 qualify- ing prospective homebuyers and has spent $79 million in home buying assistance and education, according to a spokeswoman for Wells Fargo. Wells Fargo will host an brokers' first-rate borrowers shouldn't settle for anything less. Brokers are confident in knowing that UWM can accommodate their every lending need while providing the easiest loan process available." Elite joins other recent product educational event to kick off the Memphis program later this year. launches from UWM including "The Big and Easy," a jumbo loan offering up to $2.5 million. Additionally, the company has also implemented HARP 2.0 loans with up to 175 percent loan- to-value ratio. SECONDARY MARKET ANALYTICS SERVICING ORIGINATION

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