Aug. 2: Thoughts on firing the head of the BLS, vacation market conditions, the GSEs; vendor news; Saturday Spotlight: Finance of America
If you want to know what nationwide issues are pressing for lenders, Lenders One interviewed MBA President and CEO Bob Broeksmit, CMB. In regional news, my son Robbie, on his tour of America’s Heartland, and having golfed in Erin Hills, Wisconsin, heads to La Porte, Indiana via car. This morning, via airplane (the quality of experience some say has deteriorated lately) I head to Detroit and on to Frankenmuth, MI, for the MMLA annual soiree. Plenty of lenders and vendors will be in the air of the autumn mortgage conference season. Over the next few decades, atmospheric scientists expect that shifts in conditions will make air travel bumpier, expecting a doubling or tripling of severe turbulence around the world. (Severe turbulence is defined as more than 1.5g-force on the body moving vertically, and there are about 5,000 incidents of severe or worse turbulence per year out of 35 million flights.) That said, turbulence was responsible for 40 percent of severe injuries to passengers in 2023. Over the past 40 years, there has been a 55 percent increase in severe turbulence over the North Atlantic. While there’s more of it, turbulence is also getting better to predict. Today’s forecasters are able to predict about 75 percent of clear-air turbulence, an improvement from 60 percent about two decades ago. Airlines are reacting to the move by cutting the length of the in-flight service to rein in the risk of injuries.
Saturday Spotlight: Finance of America
_________________________________________________
“Power your business forward with reverse.”
At Finance of America, we help homeowners 55 and older unlock home equity to support their modern retirement goals. Our innovative, flexible reverse mortgage solutions offer long-term growth opportunities nationwide for mortgage brokers and originators.
Founded in 2003, we offer FHA-insured Home Equity Conversion Mortgages (HECMs) and a suite of proprietary products. Our HomeSafe product is a jumbo reverse mortgage with loans up to $4 million. HomeSafe Second is a smart HELOC alternative that doesn't require the borrower to make a new monthly mortgage payment.
In April, we launched our national “A Better Way with FOA” campaign to raise awareness and educate borrowers on how reverse mortgages can be a powerful tool for unlocking home equity at 55 and beyond. We’re expanding the industry by introducing new proprietary products, deepening borrower education, and equipping more mortgage professionals to offer reverse solutions to their clients.
Jonathan Scarpati, our former Senior Vice President of Wholesale Lending, was recently promoted to Chief Production Officer to support this momentum. With over 20 years of industry experience, Scarpati was instrumental in growing the wholesale channel. His current role overseeing both wholesale and retail production will allow him to improve operational efficiency and scale our impact for borrowers and partners.
Our proudest moments are seeing how reverse mortgages change lives for the better. From helping Ann renovate her forever home to giving Susan the freedom to travel and supporting Craig as he helped his family through tough times, these stories reflect the powerful, personal impact of unlocking home equity. Empowering homeowners to live with confidence and purpose drives everything we do.
If you want to better support clients 55 and older, contact us to explore how partnering with Finance of America can help you strengthen and diversify your business, now and into the future.
The borrower must meet all loan obligations, including meeting all loan obligations under the first lien mortgage, living in the property as the principal residence and paying property charges, including property taxes, fees, hazard insurance. The borrower must maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid.
The HomeSafe reverse mortgage is a proprietary product of Finance of America Reverse LLC and is not affiliated with the Home Equity Conversion Mortgage (HECM) program. HomeSafe products are only available in certain states. Please contact us for a complete list of availability.
Finance of America | NMLS #2285
(For more information on having your firm’s extracurricular activities, employee growth, and your charitable side featured, contact Chrisman LLC’s Anjelica Nixt.)
Paul Krugman on the job data and the firing of the BLS head
_________________________________________________
The jobs data yesterday turned some heads and drove rates lower. But arguably more important was Donald Trump firing the head of the BLS because he didn’t like the jobs data but the reason given was the revision history. Aside from one suggestion that it was like, “If you don’t like your weight, throw away the scale,” Paul Krugman weighed in on the data and the beheading.
“It didn’t signal a recession, not yet, but it showed a rapidly slowing economy. And it was presumably especially disturbing for Trump and those around him, who have been boasting about how hot the economy is and sneering at critics pointing to the harm being done by chaotic policy. For this report seems to validate the critics.
“So there was only one thing to do: Trump summarily fired the commissioner of the Bureau of Labor Statistics, accusing her without evidence of manipulating the numbers for political purposes.
“Who could have seen this coming? Anyone paying attention… People who don’t follow these things closely may not realize how important the Bureau of Labor Statistics is. But it ’s our prime source of short-term information about economic developments. The BLS conducts a monthly survey of households that is, among other things, how we estimate unemployment. It conducts another survey, of employers, which is where we get estimates of payroll growth like the one above. A third survey, of prices, is the basis for the Consumer Price Index, and supplies the basic data for other inflation measures too.
“The BLS isn’t always right, nor should you expect it to be. It’s trying to track a complex economy, and sometimes it revises its past estimates, as it did Friday morning. But it is extremely professional, rigorously nonpartisan, and everyone in the business considers it the gold standard for economic data.
“Or maybe I should say ‘it was’ rather than ‘it is’. I have to admit that I expected Trump’s corruption of economic data to be insidious and take place gradually. Instead, he just fired the head of the BLS because he didn’t like the numbers it reported, a clear signal to the remaining staff not to report bad news.
“And just like that, we can no longer treat BLS data as the gold standard. (Maybe Trump will use the gold on the walls of his new ballroom.) Maybe, just maybe, the staff at the BLS will hold to their principles and continue to report honestly. But how can we trust what they report, especially if Trump flunkies are put in charge, filtering what gets released?”
Paul finished with, “From here on, I’m going to be paying a lot more attention to private surveys. And when they tell a different story from the official numbers, there will no longer be a reason to take the official data more seriously. It’s one more step on our rapid descent into banana republic status.”
Meanwhile, in the market north of Lake Tahoe…
_________________________________________________
The small town of Truckee, California, is an interesting mix of affluent neighborhoods, tourism, and “work-a-day” residents. Twenty minutes from the shores of Lake Tahoe, but on Highway 80 (which stretches from Sacramento to Maryland), the area provides a barometer for what many towns are seeing, market-wise, as the summer dwindles. Real estate agent Alison Elder checks in.
“Inventory remains healthy across Truckee-Tahoe with some variance by neighborhood and price point. Pricing is trending upward in most markets. If you see the median sale price or cost per square foot adjust downward in a neighborhood, it’s minor and may reflect the lack of new construction product sales. Overpricing is still occurring on listings. If priced correctly, the property will sell quickly and at a higher price point. The consumer’s perception of value needs to align with 1) true “comps”, 2) property attributes and 3) price. Unique properties and pocket
neighborhoods have longer days on the market.
“Trends show our market settling into a balanced rhythm. A normalized market has arrived. This creates an excellent opportunity for both sellers and buyers to make their property decisions with confidence. Multiple offers are now only occasional. Buyers feel they still have room to negotiate, and do! We typically see one to three counter offers before escrow is opened. Cash purchases are common in all price points and neighborhoods. Interest rates have not affected absorption. The majority of buyers are still from the Bay Area. There is now the occasional 1031 exchange.
“Truckee-Tahoe has become a true ‘match-making’ market, rewarding sellers who effectively prepare their properties for sale and price right. Buyers will act decisively when they find their right property and the perception of value aligns with the listing price.” Thank you, Alison.
To privatize or not to privatize, that is the question
_________________________________________________
In May, FHFA Director Bill Pulte said that the government would take a serious look at removing Freddie Mac and Fannie Mae from conservatorship in 2026 or 2027. Two days later President Trump contradicted Pulte by saying it was a priority. The opinions now seem to favor waiting for a while, but that could change with one social media post. Meanwhile, appraisers chimed in.
“President Donald Trump’s announcement regarding the potential privatization of Fannie Mae and Freddie Mac carries significant implications for the appraisal profession, as it may result in changing client demands, new workflow processes, and technological developments. These government-sponsored enterprises (GSEs), under federal conservatorship since the 2008 financial crisis, play a pivotal role in the U.S. housing finance system by purchasing mortgages and repackaging them into mortgage-backed securities. A proposal to take them out of conservatorship and return them to private ownership could reshape the housing market, and, by extension, mortgage lending and the appraisal profession.
“Privatizing Fannie Mae and Freddie Mac would require legislative action by Congress. [Editor’s note: this claim is questionable, especially as this Administration has proven adept at not involving Congress in acting.] As of now, no formal legislative proposal has been introduced, and significant policy details remain unavailable. The path forward will depend on political will, market conditions, and competing priorities in Congress. Until clear legislative direction emerges, the appraisal profession, and the broader housing finance industry, will need to prepare for multiple possible outcomes, while continuing to advocate for policies that preserve transparency, consistency, and public trust.
“The potential privatization of Fannie Mae and Freddie Mac represents a major transition for the U.S. housing finance system. While it presents challenges, it also opens new opportunities for appraisers who are prepared to evolve. By embracing innovation, reinforcing the value of human insight, and expanding their service offerings, appraisers can not only adapt, but lead, in the next chapter of housing finance.”
Third-party provider tidbits: who’s doing what?
_________________________________________________
What lenders don’t rely on outside parties for their business? Let’s take a random look at who’s up to what and play some catch up.
The 2025 STRATMOR Technology Insight® Study is now underway. The first part of the study (the Lender Intelligence Survey) is live and focused on how lenders really feel about the tech they use every day. From LOS and CRM systems to underwriting automation and servicing platforms, this is the only independent study capturing lender experiences with mortgage tech systems and vendor support. Lenders who complete the survey will receive a summary report of 2025 Technology Insight® Study results at no cost. This is actionable intel to help guide tech decisions in today’s competitive environment. Take the survey and help shape the future of mortgage tech. The survey is open to lenders only. Questions? Reach out to STRATMOR’s Technology Insight team for details: technologyinsights@stratmorgroup.com.
By the way, the Chrisman Marketplace is now “up and going,” a centralized hub for vendors and service providers across the mortgage industry to be viewed by lenders in a very cost-effective manner. We’re adding new providers daily, so check back often to see what’s new. To reserve your place or learn more, contact us at info@chrismancommentary.com.
Atlas VMS announced the acquisition of AIM-Port, a proven order management platform purpose-built by an AMC. This strategic move marks a significant step for Atlas, “laying the foundation for the development of future technology-driven solutions that better serve lenders and appraisal management companies nationwide.” By bringing an established order management platform in-house, Atlas VMS is enhancing its operations while generating additional revenue streams that will fuel its continued growth. The AIM-Port platform will continue to operate seamlessly and independently from Atlas’s core valuation management business. Atlas will retain the entire AIM-Port team to ensure continuity and preserve the platform’s trusted service.
Williston Financial Group® (WFG®), a national provider of title insurance and real estate settlement services, announced that its subsidiary Volly has launched Network Connections, a powerful new component within its marketing suite that empowers mortgage loan officers to seamlessly and proactively collaborate with and support their real estate agent network on each new listing. Volly Network Connections alerts loan officers of connected partner real estate listings in real time, allows them to view all of their partners’ current listings, enables them to create co-branded property websites with embedded lead capture forms, and generates personalized listing flyers for them within seconds. The platform also integrates lender-specific pricing on each property site in real-time. A built-in dashboard provides unmatched visibility into campaign activity, lead volume, and partner performance, making it easy to prioritize high-value relationships.
PHH Mortgage has expanded its use of Blend’s technology platform, already powering its mortgage lending operations, to now include Rapid Refi and Rapid Home Equity. As part of its ongoing digital transformation, the move will help PHH meet rising borrower expectations and deepen relationships across the homeownership journey, from mortgage origination to refinancing and home equity lending. With Blend’s digital banking platform at the core, the Rapid suite of solutions is designed for speed, personalization, and efficiency, helping PHH to streamline operations and stay ahead of the next wave of lending demand.
DocMagic successfully completed the first-ever electronic HELOC registration with the MERS® eRegistry. This achievement demonstrates the real-world potential of eHELOC technology and reinforces DocMagic’s commitment to supporting its customers' digital strategies. DocMagic’s eHELOC solution leverages proven technology to digitize the full HELOC lifecycle, eliminating paperwork and reducing operational errors, enables MERS® eRegistration and transfer of HELOCs using legally recognized digital contracts while providing real-time transparency and auditability through our SmartSAFE™ eVault.
MISMO®, the real estate finance industry's standards organization, today announced the publication of a new Appraisal Procurement Dataset Specification designed to facilitate and standardize the ordering of property services including appraisals. It was created in conjunction with the upcoming changes to the appraisal reporting being introduced as a part of the updated Federal Housing Finance Agency (FHFA) Uniform Mortgage Data Program (UMDP) and Uniform Appraisal Dataset (UAD) 3.6.
Dark Matter Technologies announced a major upgrade to its Empower® LOS: dual AUS submissions from Freddie Mac and Fannie Mae now display side-by-side with automated, rules-based loan recommendations. This enhancement gives loan originators instant visibility into which AUS findings better serve each borrower, potentially saving them hundreds in appraisal fees or shaving days off the loan cycle. By pairing dual AUS results with the AIVA® Rules engine, lenders can make faster, smarter decisions aligned with their business rules without manual guesswork.
Lender Price provides a seamless integration with Byte's robust loan origination platform empowering lenders to operate more efficiently, reduce operational costs, and deliver an unparalleled experience to borrowers. Sync data effortlessly between the Lender Price pricing engine and Byte LOS for faster, more accurate loan processes. Eliminate manual data entry and minimize risk with real-time updates across both platforms. Boost Productivity by enabling your team to focus on closing loans by automating key steps in the pipeline.
A product from Optimal Blue, Capture for Originators, is a lead gen and borrower re-engagement tool that helps loan officers spot refinance opportunities hiding in their closed loan books. It runs a lender’s portfolio through Optimal Blue’s PPE every month and flags loans that make sense to refinance now with break-even calcs, borrower savings estimates, and even pre-filled outreach emails ready to go.
SettlementOne announced a strategic partnership with global analytics software leader FICO to integrate the FICO® Score Mortgage Simulator into its comprehensive suite of mortgage lending tools. The integration empowers lenders to provide precise, actionable credit insights to help improve borrower outcomes while streamlining the mortgage qualification process. The FICO® Score Mortgage Simulator is the only authorized simulation tool available to mortgage professionals that leverages the trusted FICO® Score algorithms to simulate potential changes to borrowers' scores. This technology enables lenders to demonstrate how specific credit decisions can impact borrowers' FICO Scores and, by extension, their loan options, and interest rates.
I’m not sure Pinky was adopted and found a home after this video aired… (Frankly, I’d do the same thing if someone tried to put me in a box.)
Visit www.ChrismanCommentary.com for more information on our industry partners, access archived commentaries, or subscribe to the Daily Mortgage News and Commentary. You can also explore the Chrisman Marketplace, a centralized hub connecting mortgage professionals with trusted vendors and solutions. If you’re interested, check out my periodic blog on the STRATMOR Group website. This month’s piece is titled, “The Tax and Spending Bill: The Impact on Borrowers.” The Commentary’s podcast is available on all major platforms, including Apple and Spotify.
qoɹ
(Market data provided in partnership with MBS Live. For free job postings and to view candidate resumes, visit the Chrisman Job Board. This newsletter is intended for sophisticated mortgage professionals only. There are no paid endorsements by me. For the latest mortgage news, visit Mortgage News Daily. For archived commentaries, or to subscribe, go to www.ChrismanCommentary.com. Copyright 2025 Chrisman LLC. All rights reserved. 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.)