Fraud, Processing, Verification Waterfall Products; Fairway and Insurance; Conv. Conforming Changes

Can’t you feel the anticipation building? March 5th… Trigger leads… Don’t tell me that you’ve forgotten all about it. When a borrower applies for a mortgage and their credit is pulled, that data has historically been sold as a “trigger lead” and dozens of calls are received. Starting March 5, according to the law, credit bureaus can no longer sell trigger leads, the borrower’s lender can still contact them, and the current servicer may also reach out. Originators are reminding clients that online forms and third-party sites can still resell their information, so where they click still matters. Meanwhile, our MBA and others continue to tell the Administration that the costs lender incur in providing financing for homes is passed on to borrowers whose loans actually fund. “Talk about affordability……why don’t the agencies bring down rates by lowering loan level price adjustments (LLPAs) and guarantee fees (GFs). It is evident that they are overpricing credit risk.” When was the last time you heard a government official talk about lowering homeowner’s insurance costs, condo fees, or permitting & utility costs? (Today’s podcast can be found here and this week’s ‘casts are sponsored by FirstClose, a leading home equity technology platform that combines digital application, automated workflows, integrated vendor management, and seamless LOS connectivity, to turn home equity into a scalable, predictable growth engine. Hear an interview with MakeMyMove’s Evan Hock on new data that shows that many financially stable, middle-income households are being priced out of homeownership in major metros not by monthly affordability but by lack of access, prompting relocations to smaller regional hubs where similar housing costs unlock ownership, stability, and better quality of life.)