Having a strategy and a plan to implement that strategy is always important. For the mortgage industry, it is even more important now as the consequences from regulatory changes are likely to change the origination landscape significantly. Implementing the regulatory changes will take considerable effort in retooling systems, training staff, and monitoring for compliance. All this will come with a price tag. Some companies will choose to get out before the changes are to be implemented. Others will choose to join firms that have the resources to implement the changes. Some firms will implement policies and controls based on the strictest, most conservative interpretation of the new regulations, and others will take a more common sense approach. All this is said to support the argument that over the next year or so we will see considerable movement within the industry. Firms with capital, systems and support in place will be well-positioned to benefit from the movement.
So if your strategy is to profitably grow your origination business in a compliant manner, you should have a tremendous opportunity in the coming months. Your plan should include building capital to pay for the cost of change and to support larger volumes, employing systems and system vendors with the resources to implement required changes. Building an origination philosophy that puts the customer first and embraces the benefits of the changes that are coming will enhance the plan.
MBSQuoteline supplies the essential market information necessary for effective decision making by Originators when assisting borrowers during the loan origination process, and for secondary marketing departments while managing pipelines. For additional information or to sign up for a free 2-week trial subscription, visit www.MBSQuoteline.com or call (800) 627-1107.
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