Poll Archive

Do mortgage lenders really need a new credit-scoring model or is the current FICO system adequate?

It’s fine. Stick with what works.

53%

Time for a change. Borrowers are different today.

35%

Undecided, still assessing the situation.

12%

With loan volumes declining, does your shop have plans to enter the non-QM lending market in 2019?

Yes, definitely. A solid move forward.

45%

Yes, but only incrementally.

16%

We’re pondering a move into non-QM, but haven’t made up our mind.

13%

No, definitely not. We view it has too risky.

26%

Who "owns" the mortgage customer that’s brought to a wholesale lender through a loan broker?

The broker. It’s his/her client.

35%

The wholesale/table funder. They’re taking the financial risk.

30%

The broker, but only for the first year. After that, the borrower is fair game.

13%

Hard to answer. It’s a complicated issue.

22%

With mortgage production down noticeably this year from 2017, how many lenders might disappear via M&A or failure during the next 12 months?

10% or less. It’s not that bad out there.

17%

11% to 25%. It’s a challenging market.

48%

25% to 40%. It’s going to be very ugly.

24%

No opinion.

11%

On average, how much of a commission does your shop pay loan officers per loan they originate ?

25 to 50 basis points.

18%

51 to 100 basis points.

42%

101 to 150 basis points.

15%

North of 151 basis points. (We expect a lot.)

13%

We pay salary, not commission.

13%

What’s your opinion on how Mick Mulvaney has managed the CFPB since he took over three months ago?

He’s done a good job of paring back the agency’s excesses and we’d like to see more.

35%

I hope he totally dismantles the agency and sends those functions back to the agencies hence they came.

14%

Not bad, but he needs to take his time making additional changes.

12%

We’re totally aghast. He’s gone way too far in protecting the rights of companies not consumers!

39%

How many new retail loan officers (net) is your shop looking to hire in the first quarter of 2018?

1 to 10. We’re being careful.

37%

11 to 30. We’re feeling slightly bullish.

15%

31 or more. We’re in expansion mode.

None. We’re staying right where we are, for now.

26%

We’re cutting back.

22%

With originations expected to drop in 2018, will your shop turn to non-QM/non-prime mortgage products as a way to bolster volumes?

Yes, definitely. We’re planning a launch.

33%

No. It’s still difficult compliance/regulatory-wise.

20%

Maybe. It’s under consideration.

33%

Not now. But things could change as 2018 progresses.

13%

The year is almost 75% done. How is mortgage origination volume at your shop?

We will fund about the same as we did in 2016.

15%

We will fund more than last year – by a little.

22%

We will fund more than last year – by a lot.

20%

We will fund less than last year – by a little.

27%

We will fund less than last year – by a lot.

10%

Who should make the ultimate decision in resolving the future of Fannie Mae and Freddie Mac?

Congress

28%

FHFA

25%

Treasury

18%

I wish we had another option, but we don’t.

29%

Should any GSE reform bill from Congress be based on the concept of preserving Fannie Mae and Mac and their existing operations?

Yes.

59%

No.

18%

GSE reform won’t happen in my life time.

23%

With the spring homebuying season in full swing, what percentage of your March 2017 application volume has been for “purchase” loans?

75% or higher

48%

50% to 74%

24%

30% to 49%

14%

Under 30%

14%

With rates higher this year, there has been talk of lenders liberalizing their underwriting standards in an effort to increase volume and make up for lower refis.

Do you think your shop will loosen standards over the coming three months?

Yes, but not by much.

47%

Yes, by a lot.

5%

Yes and, heck, we may even do non-QM lending.

14%

No, not at all.

26%

No and we may even tighten credit.

7%

HUD has announced a 25 basis point cut in FHA premiums, which is slated to take effect in late January. Is your lending shop for or against a cut in FHA premiums?

For. It should help lending volumes.

54%

Against. The private MI sector should take on this risk, not the government.

14%

Too early to say.

6%

I believe the new White House may scuttle the idea so it doesn’t matter.

26%

In 2016, what have you been paying your retail residential loan officers, on average, as a commission?

25 to 50 basis points per loan

11%

51 to 75 bps

18%

76 to 100 bps

20%

101 to 150 bps

25%

More than 150 bps

2%

We’re a call center lender and don’t disclose that data point.

23%

Poll

Do mortgage lenders really need a new credit-scoring model or is the current FICO system adequate?

It’s fine. Stick with what works.

53%

Time for a change. Borrowers are different today.

35%

Undecided, still assessing the situation.

12%