Apr. 18: Credit analyst, bus. dev., LO jobs; events & training; loss mitigation software; MBA P&L stats; Ohio, UWM, & collusion accusations

“What do you get if you cross Islam and Capitalism? No more jokes about the profit.” Mid-sized lenders, especially those with branches with P&L models, are examining their cash flow, and, as best I can tell, are saying, “Well, given the lack of profits, let’s take a look at our costs again.” There is informal talk about lenders starting back up cost-cutting measures, including cutting back on travel to non-MBA or MBA related conferences. Our business certainly isn’t a gravy train. The Mortgage Bankers of America spread the word that independent mortgage banks and mortgage subsidiaries of chartered banks reported an average profit of only $443 on each loan they originated in 2024. At least it’s up from an average loss of $1,056 per loan in 2023. (Much below!) (Today the podcast takes a break in observance of Good Friday, but can always be found here and this week’s are sponsored by BeSmartee, transforming mortgage lending with Bright Connect, its native mobile app designed to boost loan officer productivity, speed up referrals, and simplify the borrower experience. Yesterday’s featured an interview with Luxury Mortgage’s David Adamo on the strategic advantages of non-QM loans, and insights on how they can help lenders stand out, diversify their portfolios, and navigate today’s competitive lending landscape.)

Employment

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A fast-growing mortgage technology company seeks a dynamic Mortgage Tech Executive to oversee operations and lead business development initiatives. This role will ensure the effective execution of platform functions, working closely with product and engineering teams to enhance performance and user experience. The ideal candidate will have deep industry experience and a proven track record of managing teams, driving operational efficiency, and delivering growth. They will be responsible for developing strategic opportunities, building partnerships, and expanding the client base. Must have a strong knowledge of mortgage lending, plus technology management experience. If interested, please email your confidential resume to Chrisman LLC’s Anjelica Nixt and specify this opportunity.

Onslow Bay Financial LLC, a wholly-owned subsidiary of Annaly Capital Management, Inc., the largest mortgage REIT in the world, is seeking a Residential Whole Loan Credit Analyst (Associate/VP Level) with Non-QM experience. This candidate will be tasked with partnering with our correspondent originators to facilitate the efficient pipeline flow and management of the Onslow Bay correspondent channel. The candidate will be a part of a team that is responsible for handling direct originator communications pertaining to exception/scenario requests, in depth guideline reviews, loan scenarios and general matters surrounding post close diligence. The ideal candidate would have 5+ years of relevant credit experience in the residential mortgage whole loan market, preferably non-QM underwriting. In addition, they should have the experience and ability to manage post close due diligence with TPRs, make credit decisions/help assist the Onslow Bay scenario desk, closely interact with our correspondent partners and monitor market underwriting guidelines. Please reach out to learn more.

“Join a team that knows how to deliver… And have a little fun while doing it. At Evergreen Home Loans®, we’re serious about closing loans “On Time and As Promised®,” but that doesn’t mean we take ourselves too seriously. From celebrating birthdays and milestones to collaborating with peers across the Western U.S., our Loan Officers enjoy the support of a team that values results and relationships. If you're looking for a place to grow your business without losing your personality, we're hiring. Come see why Evergreen is a place people love to work. Join us at DiscoverEHL.com. For more information, contact: Todd Miles, EVP of Production Growth (360.606.2232).

(As a reminder, anyone searching for employment can post their resume at no charge at www.lendernews.com, and potential employers can view all resumes for several months for only $75.)

Sponsored conferences, training, and webinars

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Attention all Mortgage Innovators! Join us for the blueprint in cutting edge mortgage technology at the Mortgage Innovators Conference May 7 – 8 in Huntington Beach. Our Co-Chairs Kevin Peranio, PRMG, and Ike Suri, Funding Shield welcome all California MBA lender members free of charge! Texas MBA lender members and MISMO lender members also receive complimentary registrations! For non-lenders, you can use the coupon code MIC25-SALE to receive 25% off your registration through April 25th. Thank you to our Premier Sponsors Cotality (formerly CoreLogic) and ICE Mortgage Technology. This conference will not only cover technology and product innovations in mortgage, but we’re also featuring a session of private equity and venture capital companies discussing factors that go into investing in technology. Of course, we top it off with the best party in the industry: the Innovation Deck Party! Hosted dinner, bars, entertainment, and fantastic networking. See you in May!

“The Loan Store Presents “DSCR Done Right,” an April 23rd Webinar Hosted by National Mortgage Professional. Mark your calendar for April 23rd! The Loan Store is teaming up with National Mortgage Professional to bring you a powerful Deal Desk Webinar: “DSCR Done Right.” This live session is your chance to dive deep into DSCR loans, learn how to avoid common missteps, and get expert guidance on structuring investor deals that close with confidence. We'll walk through real-life scenarios, share best practices, and answer your questions live. Whether you’re new to DSCR or want to fine-tune your approach, this webinar will arm you with the tools you need to grow your investment loan business. DSCR Done Right is more than a guideline review. It’s a strategy session designed to help you win.

Join us on Tuesday, April 23rd and take your DSCR game to the next level. Registration is now open… Don’t miss it!”

On Thursday, April 24th at 9am (PST), Castor Financial is presenting a live webinar: Navigating the Mortgage Market in 2025: A Discussion Featuring Insights from Rob Chrisman. Join renowned industry commentator Rob Chrisman as he teams up with Castor Financial's President, Brooks Champagne, and VP of Product and Pricing, Matthew Craybas. This expert panel will discuss the challenges shaping the 2025 mortgage landscape. Tune in to catch the real-world tactics and innovative approaches top originators are using to overcome obstacles and achieve success in today’s market. Don't miss this forward-looking discussion packed with actionable insights designed specifically for mortgage brokers. Visit castorloans.com/webinars to register.

In today's episode of Last Word, Brian Vieaux, Christy Soukhamneut, Kevin Peranio, and Courtney Thompson will cover key developments in housing finance, including Joe Gormley’s appointment at Ginnie Mae, leadership changes at the NCUA, and discussions around regulatory consolidation. They’ll also explore insights from CU: REALM and examine Equity Smart’s shift from UWM to Rocket.

Fannie Mae launched a new online course that details key features of the HomeReady® mortgage product. Whether you're a seasoned pro or just starting out, "Mastering HomeReady Originations" is your go-to resource. This interactive course is designed to give you step-by-step guidance and make it easy to originate HomeReady mortgages.

This Fannie Mae eLearning series is designed to give you a high-level overview of the completion process for monthly P&I and T&I custodial bank account reconciliations.

Join Fannie Mae’s special 45-minute session, April 24, at 1 p.m. ET on how to use the new Fannie Mae Connect™ dashboard to act on insights built from your performance data and discover business opportunities. We have automated your data to uncover and visually present successes and opportunities for improvement at the loan level on topics like STAR™ servicing, pre-payment speeds, mission scores, and more.

Loss mitigation software

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For homeowners facing financial hardship, the threat of losing their home can be devastating, causing stress, anxiety, and uncertainty about their future. But servicers can play a critical role in helping families find a way forward. The ICE Loss Mitigation solution helps you streamline processes and reduce risk, while providing you with the tools to connect struggling homeowners with available assistance options. Loss Mitigation also helps automate GSE decision and settlement steps with API integrations, track activities with rules-driven tracking, and more all from within a user-friendly interface for agents. Learn more about ICE Loss Mitigation so you can be ready to help homeowners when they need it most.

As the world turns in the wholesale world…

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Yesterday’s Commentary had a note about events in the wholesale world. Kelley Galloway with Arive wrote to say that, “Anthony Casa does not own ARIVE, it is owned by Harish Tejwani. This misinformation in the press is incredibly damaging to our company, as we have been taking great strides over the past few years to differentiate between the first iteration of ARIVE (which was, frankly, a mess) and the version it is now under Harish. In addition, Katie Sweeney was also never CEO of ARIVE.” Thank you, Kelley.

Of course, anyone can sue anyone, but in this case, Ohio Attorney General Dave Yost is suing United Wholesale Mortgage, accusing the Michigan-based lender of conspiring with brokers to “rip off” Ohio consumers. “Buying a home is hard enough without having to worry about a lender scheming behind your back,” Yost said. “This predatory business practice has no place in Ohio.”

According to the lawsuit, United Wholesale Mortgage falsely claims that brokers are independent from the company, saving borrowers money on loans by finding the best deals from different lenders. In reality, the lawsuit says, the company colludes with many brokers to funnel nearly all loans back to itself. The scheme enables the company to charge borrowers above-market rates and fees instead of saving them money, as it claims.

“Consumer complaints involving United Wholesale Mortgage can be submitted by email to UWMOhioComplaints@bsfllp.com.”

The cost of helping borrowers

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“After two preceding years of net losses, net production income was back in the black in 2024,” said Marina Walsh, CMB, MBA’s fabled VP of Industry Analysis. “Production revenues improved, and per-loan costs decreased as volume picked up, particularly in the second half of the year.”

“While overall production profits were positive, some lenders are still struggling in this tough market environment. For example, for the sub-group of lenders with an annual production volume of less than $500 million in 2024, average net production losses continued for the third consecutive year. It has been difficult to spread the fixed costs of originating loans over lower volume.”

“Including both the production and servicing business lines, 68 percent of the firms in the study posted pre-tax net financial profits in 2024, up from 36 percent in 2023 and 53 percent in 2022. Were it not for profits from the servicing side of the business, the percentage of firms recording net financial profits would have fallen to 56 percent in 2024.

“In basis points, the average production income was 10 basis points in 2024, up from a loss of 37 basis points in 2023. Since the inception of MBA’s Annual Performance Report in 2008, net production income by year has averaged 47 basis points ($1,077 per loan). The refinancing share of total originations (by dollar volume) increased to 16 c in 2024 from 11 percent in 2023. For the entire mortgage industry, MBA estimates the refinancing share last year increased to 27 percent from 16 percent in 2023. Total production revenues (fee income, net secondary marking income and warehouse spread) were 345 basis points in 2024, up from 329 basis points in 2023. On a per-loan basis, production revenues were $11,520 per loan in 2024, up from $10,202 per loan in 2023.

“Total loan production expenses (commissions, compensation, occupancy, equipment, and other production expenses and corporate allocations) decreased to $11,076 per loan in 2024, down from $11,258 in 2023.

“Net servicing financial income, which includes net servicing operational income, as well as mortgage servicing right (MSR) amortization and gains and losses on MSR valuations, was $301 per loan in 2024, up from $263 per loan in 2023. Including all business lines, 68 percent of the firms in the study posted pre-tax net financial profits in 2024, up from 36 percent in 2023.”

There are five Mortgage Bankers Performance Report publications per year: four quarterly reports and one annual report. To purchase or subscribe to the publications, call (202) 557-2879. The reports can also be purchased on MBA’s website.

Capital markets: markets are closed

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Yes, it’s been a long time since our last Federal holiday… are you really taking locks today? The bond markets are closed. Any U.S. mortgage rates that you see will probably be based on where the U.S. market closed Thursday, add or subtract some foreign bond price movement, and perhaps fill some of the hedges that were put on yesterday. More Monday!

It's coming up on prom season.

So, this guy is taking his girlfriend to the high school prom, and he's got a lot of work to do.

First, he has to rent a tux, so he goes to the tuxedo store. But there's a huge tuxedo line at the store. Finally, he gets out of there and realizes he has to buy a corsage, so he goes to a florist. But there's this big, long corsage line at the florist, He eventually gets the corsage, and he has his tux, and he remembers he needs a limo. But there's this long line when he gets to the limo place.

Finally, after waiting and making all the arrangements, it's the night of the prom. He picks her up and takes her down there to get in, but there's this enormous ticket line at the door. They get in and start dancing and having fun, and she says to him, "I'm hungry," so he goes to get her some food, but there's this huge buffet line, He gets her food and they eat and they're dancing again and she says, "Now I'm thirsty, can you get me a drink?"

So, he goes and gets her a drink and there's no punchline.

Visit www.robchrisman.com for more information on our industry partners, access archived commentaries, or to subscribe to the Daily Mortgage News and Commentary. If you’re interested, visit my periodic blog at the STRATMOR Group web site. This month’s piece is titled, “Love Them or Leave Them? The Ongoing Saga of Fannie and Freddie.” The Commentary’s podcast is live and at any place you obtain your podcasts (like Apple or Spotify).

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(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes visit LenderNews. This newsletter is for sophisticated mortgage professionals only. There are no paid endorsements by me. For up-to-date mortgage news visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.ChrismanCommentary.com. Copyright 2025 Chrisman LLC. All rights reserved. Occasional paid job & product listings do appear. This report or any portion hereof may not be reprinted, sold, or redistributed without the written consent of Rob Chrisman. The views and opinions in this newsletter are mine alone unless otherwise specifically stated herein.)