In January 2021, Loan Vision released Dr. Schell’s white paper that addressed several topics including the IRLC Fair Value. This March 2, 2021 white paper provides a valuation update based on 12-31-20 secondary margins common among mortgage companies. As noted in the January white paper, the IRLC fair value assessment is significantly influenced by its …
While interest rate lock commitment (IRLC) protects customers from market risk, it exposes the mortgage lender to that very same risk. Because of this, mortgage lenders need to have a firm understanding of how changing rates affect the IRLC and how to properly determine the fair value of the IRLC. Dr. Andy Schell, the Profit …
The Mortgage Lender’s Guide to Hedging, Fair Value, Market Value, and the IRLC Read More »
In this industry, as part of the lender due diligence process, the financials and credit history of every mortgage banking customer are combed over and scrutinized. Mortgage banks search for any and every detail to properly assess the probability of loan repayment. However, when it comes to their own financials, not all lenders give as …
Unlocking the Numbers—Leveraging Granular Financial Detail in Business Strategy Read More »
UPDATING ACCOUNTING TECHNOLOGY IS NOT A JOB FOR THE CFO One of the byproducts of an ever increasing competitive landscape as well as the continuing rise in the cost to originate, is the demand for timely, granular reporting; which, more often that not, older technologies or off-the-shelf financials solutions struggle to produce efficiently. While it …
In an age of skyrocketing technological capabilities and ever increasing software functionality enhancements, the mortgage banking industry is now in the age of agility, making it more vital than ever to have a financial system rooted in cutting edge technology that has been built on a solid foundation. While routine updates and improvements are crucial, …
Financial Accounting Systems in the Age of Agility Read More »
When it comes to the task of loan origination, the primary focus of the mortgage lending enterprise, most lenders are highly skilled at streamlining their technology platforms. They rely on the software they need to complete the mortgage origination process in the most efficient manner and keep their sales operations functioning at maximum efficiency, day …
3 Reasons to Reduce Your Accounting Software Footprint Read More »
IMPROVE YOUR PERFORMANCE Growth for many companies lies in keeping tabs on the performance of their branches For many mid-tier lenders, the key to growth is still a vibrant, profitable network of branch offices. Recruiting good branch managers and their origination teams is a very competitive business and a number of companies have become very …
Clue No. 3: You’re Using Multiple Software Applications in Your Finance Department When a company finds it cannot do what it needs to do with the software it’s using, innovative executives will come up with a workaround. This will almost always involve the addition of a new piece of software or automation, which then must …
Part Two: 4 Clues it’s Time to Upgrade Your Mortgage Accounting Software Read More »
One of the problems involved in running a business that is measured by deal volume is that success is only possible if the deals never stop. It can be very difficult to make improvements to a company when the work never ceases. It’s akin to performing maintenance on an automobile without ever turning it off. …
Part One: 4 Clues it’s Time to Upgrade Your Mortgage Accounting Software Read More »
If you are managing a mortgage origination business, no one needs to tell you that things are getting tougher. You’re dealing with tighter margins, production volume is down while costs, driven primarily by compliance, are up. Compass Analytics recently reported that production volume for its clients was down in March by 20% from the February …
Using Software to Uncover Mortgage Business Insight Read More »
