NAMBCentral February 2022

The Digital Magazine for the National Association of Mortgage Brokers FEBRUARY 2022

editrix Time to Take Charge

BY JILLY MacDOWELL

It’s worth mentioning that I produced this edition of NAMB Central while going under contract on a house.

My fourth offer in as many years and the first one accepted! I’ll be moving back to my adopted hometown, Philadelphia, where I went to college (Tyler School of Art, 1988).

contents FEBRUARY 2022

~ UP FRONT Tomorrows Leaders, Today... 4

by NAMB Staff

The Secret to Great Leadership... 6

by Ron Vaimberg

Hold On to Your Identity... 8

by Jilly MacDowell

FOCUS 2022 in Review... 12

by Joshua Steinberg

CLOSING STATEMENTS... 13 News from Industry Partners

~

That’s where I learned graphic design, using expensive Koh-i-Noor ink pens, rubber cement & X-acto blades -the kinds of “outernet” design tools our future leaders look at as adorable vintage pieces. “ The fact is we need our techie twentysomethings, our future leaders, now more than ever! The mortgage industry, the country, the world – it’s all moving at breakneck speed and rubber cement isn’t going to slow it down. “ So, in this issue of NAMBCentral, we look at leadership in practice and in theory. In an effort to build educated, powerful businesspersons, eventual board members and stewards of tomorrow, NAMB officially launches its Future Leaders program. Coach/trainer and NAMBCentral contributor Ron Vaimberg dissects the differences between leadership and management. “ I also take a look into identity theft. Admittedly, I’ve always said, ”I’m an open book.” But here I am opening the literal book(s) to an agent, a lender, a broker and countless other parties in the precariously, critically timed theater of a home sale. They’ve earned my trust but I’ll still keep a close eye on my credit report after the tranaction. Privacy matters! Protect yourself!

Tell me what’s on your mind. Who do you want to hear from? Email magazine@namb.org. I promise, with each month, NAMBCentral will expand to cover the issues you care about. NC COVER PHOTO BY JOAKIM NÅDELL ON UNSPLASH.

HIGH HEELS IN HIGH PLACES AT NAMB FOCUS 2022

The National Association of Mortgage Brokers is the voice of the mortgage industry, representing the interests of mortgage professionals and homebuyers since 1973.

ADVERTISERS Plaza Home Mortgage... 2, 13 SRE.com... 5 Lending Pad... 5 Freedom Wholesale Mortgage... 9 Acra Lending... 14 Black Knight... 15

NAMB STAFF SALES: Valerie Saunders MARKETING: Jilly MacDowell MEMBERSHIP: Brad Patterson ADMIN: Hunter Higginbotham

February 2022

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Tomorrow’s Leaders, Today STACY EADS

NAMB Future Leaders Program Launches

BY NAMB STAFF

NAMB Future Leaders is a new leadership program designed to bring individuals forward to participate as new NAMB Board Members. Spearheaded by NAMB President Linda McCoy, this engaging and immersive program is designed to build participants' skill set no matter how new or seasoned they may be.

Director Stacy Eads will lead the first cohort through a 6-month series of projects, activities and webinars with a customized, approved curriculum. Eads got her start educating future leaders a decade ago as a committee chair for the Mortgage Bankers Association of Alabama.

“I was able to assist people with goal planning and team-building exercises in a fun, upbeat environment,” Eads recalls. “Several of the class graduates continued on to leadership roles within MBAA. It was a great experience for me to lead the class to a common goal. I enjoyed it immensely and look forward to launching NAMB Future Leaders!”

Classes are online sessions required to receive a certificate of achievement. Eads will direct the classes with the help of volunteer speakers pertinent to the segment. The curriculum begins with defining goals, both short- and long-term, a writing and sharing exercise. Continuing with webinars, participants will 4

February 2022

define personality types, get insight to the inner workings of a lender, and create pathways to success in the business environment.

Next, the course heads into the “real world.” Eads is emphatic about its significance. “The community aspect will be a new chapter designed to help our leaders understand the need to work within their backyards,” she says. “It is not only imperative for a good leader to understand whom they represent, but also to educate and be of value to the community as well.” This will be a great opportunity to incorporate social media into the program -- after all, this is where our future leaders are doing business!

“It is imperative for a good leader to educate & to be of value to the community they represent.”

The final section of the course is unknown -- because it will be determined by the class itself! They'll discuss and determine as a group what they have to share. “I try to stand back and let their imaginations take the forefront,” Eads says, “and provide guidance with boundaries to insure it can be used in an open forum.

It's a lot of fun to watch it come to life.” NC Apply now at namb.org/futureleaders!

Requirements: at least 2 years in the mortgage industry, a resume or LinkedIn, a reference letter, NAMB membership, and a completed application.

Applications must be submitted by Feb. 28, 2022.

The Secret to Great Leadership Managers give direction on tasks, leaders listen and delegate authority. Managers quell fires, leaders prevent fires by being proactive. Managers hire and train, leaders create an environment to retain great employees. Finally, managers strive for self-improvement, leaders strive to improve those around them.

Without question, management and leadership are interdependent. They work together, even if the same person is responsible for both. If that’s the case, it’s critical to understand which is needed and when.

This Time, With Feeling

BY RON VAIMBERG

You often hear people say that you cannot do things today the way you used to do them. They’ll say, “People are different, people have different needs and desires today than in the past.”

Though this may be true, the way people need to be led has not. The core principle of leadership is to motivate people toward a common goal and inspire them to be part of something greater than only themselves.

It’s amazing how often I witness and hear managers use the word “lead” in their daily activities. However, these managers are actually engaging in management activities, not leadership. Let’s clarify the difference between management and leadership.

Transformational

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February 2022

Transactional

Servant

The key to being an effective leader starts with asking the right questions. By asking the right questions, you bring clarity to your thought process and outcomes.

In today’s rapidly changing market, leadership and management may intersect and often are not properly executed.

Right now managers and owners across the country are telling their loan officers they need to go out and source more purchase business. “Go out and talk to real estate agents, meet them, take them to lunch!”

But many managers aren’t telling their sales team how to do it. Or maybe they’re telling their LOs to do exactly what they did to grow their business. This is “old thinking.” Each LO needs to be coached and directed in a way to leverage their strengths.

Think of it this way: Bill Belichek is arguably the greatest football coach of all time. Do you think he talks to all of his players the same way? Not a chance.

Many books and interviews regarding his amazing success as a coach have uncovered that his genius is in how he reads his players and communicates with them. He knows how to tap into their individuality to

Autocratic

­

Laissez-Faire

­

Democratic

“Leaders will give their teams inspiration, power & emotional reasons to act.” get the most from them, and then ties that into the greater goal of the team.

The majority of LOs dabble in prospecting versus going all out with it. Fear of rejection is the number one reason. While training and management will alleviate some of that fear, leaders will rather focus on creating an environment of inner power and inspiration. Leaders will give their team emotional reasons to act. Leaders will connect people to the their own personal goals, actions and outcomes.

Connecting an emotion to an action not only increases the likelihood for action but the commitment to excel at it too. A leader who makes this connection will inspire a team to want to learn, then to master, then to capitalize on a changing market. Remember, education without inspiration is a formula for mediocre results at best.

Great leaders create the fire for people to want to learn and take action. Managers can handle the training and stoke the fire, but the leader is the one who lights the match. NC Ron Vaimberg is one of the most in-demand trainers and coaches in the mortgage industry. He’s known as a “street trainer” in that his high-performance marketing, sales and leadership strategies are easy to implement and produce returns rapidly. To find out more about services for leaders, managers and loan officers, email Ron@RonVaimberg.com, call 877-582-3865, or visit RonVaimberg.com.

Bureaucratic

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Charismatic

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Situational

February 2022

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Hold On to Your Identity Your Info Is Out There

BY JILLY MacDOWELL

According to ValuePenguin, more than 70 percent of people do their banking online. Forty-three percent are banking on their phones. Chances are, you're one of these people. So it's important to know the basics of preventing identity theft.

Understand, identity theft is not limited to numbers (social security number, credit cards, driver's license); sometimes just your name is enough to commit fraud or other crimes. It's as serious a problem as it's ever been, now that hacking is commonplace, especially of massive corporate electronic databases.

You've probably received an email about a "password compromised in a massive breach." You're likely to be part of a class action lawsuit against a well-known company because their information has been stolen.

The Federal Trade Commission estimates that 3% of Americans are victims of identity theft each year.

Often, they're unaware of the problem until months later after the damage has been done.

Take the first step right now: Place a fraud alert on your credit report on either Equifax, Experian or TransUnion. This simple measure makes it harder for a thief to open new credit in your name. (Fraud alerts must be renewed each year.) While you're there, go ahead and review your report. Make sure it's all legit.

As it pertains to the mortgage industry, federal investigations target identity fraud by unscrupulous mortgage brokers, appraisers, real estate attorneys and other real estate professionals – and home buyers – through the Fraud Enforcement and Recovery Act (FERA). Officials recognize two main categories of fraud related to mortgages: for housing and for profit.

The former is the submission of false information like appraisal frauds or air loans to get more favorable terms when buying a home. The latter is when an industry insider misuses their specialized knowledge to steal cash and equity from >>> CONT’D ON PAGE 12

The nation’s most-attended mortgage-focused event! namb.org 8

February 2022

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Visit namb.org/joinNAMB, email membership@namb.org or call 202-434-8250 to become a member today!

BECOME A MEMBER OF Join thousands of mortgage professionals across the nation who are staying educated, trained and well-informed on everything happening in the mortgage origination industry.

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NAMB gives you the opportunity to differentiate yourself from

ATTEND EVENTS

NAMB hosts some of the most informative and well-attended

other mortgage professionals, and increase your business opportunities, maintain your skills and boost your bottom line.

conferences in the industry. Develop professional skills, discover the latest technology, network with peers and meet with the largest gathering of lenders and other suppliers in the industry.

EXPAND YOUR KNOWLEDGE

Courses and webinars are held at national and affiliated state association events. Introductory courses and courses that examine key mortgage industry issues are offered - there is a course for everyone!

HAVE A NATIONAL VOICE

Help shape the future of our industry and your business.

NAMB represents the mortgage broker industry on Capitol Hill by promoting legislation, negotiating with regulatory agencies and working in partnership with other associations to achieve our public policy goals.

namb.org/joinNAMB NATIONAL ASSOCIATION OF MORTGAGE BROKERS | NAMB.ORG | 202-434-8250 | 601 PENNSYLVANIA AVE NW, SOUTH BLDG, WASHINGTON DC 20004

Stolen Identity CONT’D FROM PAGE 8 lenders or homeowners. The FBI prioritizes fraud for profit. But within both are probable instances of identity fraud – the applicant’s identity and/or credit history is altered, a factitious identity is invented, or a stolen identity is used.

#NAMBFOCUS PHOTOS FROM LINKEDIN

While mortgage fraud continues to be a problem, the trend is down more than 15 percent since FERA was enacted in 2009. Still, CoreLogic’s latest data shows one in 164 mortgage apps are estimated to have indications of fraud.

Professional industry orgs like NAMB have a code of conduct and best practices that are peer-monitored.

Indeed, NAMB's raison d'etre is to elevate and maintain an ethical standard and promote the highest degree of professionalism within the mortgage industry.

Just know that identity theft continues to rise. The FTC estimates that 20 years ago, there were a halfmillion victims of identity theft; today it's nine million.

It's definitely time to change some passwords. NC Resources: AnnualCreditReport.com, IdentityTheft.gov, InvestoPedia.com

Looking Back at NAMB Focus 2022

BY JOSHUA STEINFELD “This year’s first association event, NAMB Focus, was a stimulating and successful function for more than 400 attendees, presenters, partners and honored guests,” said Linda McCoy, NAMB board president.

“The entire executive board had many conversations with our guests about the valuable information shared and learned. NAMB is excited to host many market-leading professional development events throughout 2022 and beyond.”

NAMB Focus offered attendees such professional development as “Winning in a Purchase Market” and “The Ultimate Originator 2022 Business Plan.”

Sessions included emerging tech for non-QM business and leveraging social media.

NAMB's new initiative High Heels in High Places, a new professional development program, focused on women’s opportunities and challenges within the mortgage industry.

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February 2022

The annual event also featured governmental sessions from Freddie Mac and the FBI. And NAMB offered state-of-the-art certifications; nearly 100 became Certified Veterans Lending Specialists (CVLS) and Certified Credit Specialists (CCS)!

“Education, certifications, professional development and bonding among our attendees is what drives NAMB to be the leading voice of the mortgage marketplace,” said McCoy. “We look forward to hosting hundreds of industry professionals in April for the NAMB Legislative and Regulatory Conference in Washington, D.C.!” NC

Closing Statements

Freelancing and Financing Plaza Has Flexibility for the 1099 Borrower

From freelancing to full-time, the “gig-model” is boosting the number of 1099 workers. As an increasing number of businesses and workers divert towards a more flexible work schedule and work-life balance, the result is more demand for non-traditional employment.

With the freelance economy growing, Plaza Home Mortgage® can help you offer the right product to your borrowers. They are here to help their broker clients serve the 1099 market and offer their Solutions Non-QM program to fit the needs of the 1099 professionals.

Here’s what Solutions Non-QM can do for you and your 1099 borrowers: Expanded eligibility guidelines and alternative documentation options: • 1099’s from 1 or 2 years • Get qualified on 90% earnings • Personal Bank and Business Bank Statement Options also available • P&L – 1 Year or 2 Year Options available as well ■

■ Loan limits to $3.5 million, Fixed and ARM products, and IO w/40 yr term

A dedicated Non-QM Underwriting team to give you fast, accurate and consistent answers to questions and underwriting decisions.

■

Let’s talk about how Plaza can help your 1099 borrowers reach their goals. Reach out to Plaza today at hereforyou@plazahomemortgage.com or visit us at plazahomemortgage.com to find out more. NC

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A SPECIAL THANK YOU TO OUR

Closing Statements

industry partners Non-QM Lending Solutions Acra Lending Offers Variety

It wasn’t that long ago in the mortgage world that brokers and lenders could not keep up with the number of refinancing requests.

Highly favorable interest rates fueled the race for many to change the conditions on their mortgages.

That was then, and this is now. The number of refinances has fallen off the mortgage cliff as Federal Reserve announcements have edged interest rates northward.

Although a possible setback for agency-based lenders, the air deflating out of the refinancing bubble has been a further boom for Non-QM Lenders and in turn Brokers who have added Non-QM programs to their organization to meet customer needs.

Acra Lending offers a variety of programs specifically designed for self-employed, foreign national and investor borrowers. A high percentage of the time Acra can find a solution for borrows. If needed, the company has the ability to look outside of their guidelines and find solutions for very difficult situations.

To learn more about Acra Lending and their recently launched Fix & Flip offering, visit acralending.com. NC

Partner with NAMB! Email valsaun@namb.org.

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February 2022

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