What is YOUR VISION?

At a time where the Mortgage Lending business is at a crossroads it is now more critical for C Level Executives to ask several hard questions. This is not a time to wallow in wondering when and how much interest rates will need to fall to increase loan production. It is time to re-evaluate what made your firm successful and what needs to change for ongoing success. ASK - what does your strategic roadmap address that works, that does not work and then identify new opportunities.

I was recently at the Colorado Mortgage Lender’s Annual Lender’s Rally. The attendance was at a marked increase from 2024 and a new level of energy and enthusiasm in the room.  WHY? Those individuals in the room have a keen method of looking at negativity and rekindling this into designing new strategies. Leaders who are visionary in nature have an innate ability to adapt to new ways of doing business.  

What I found very interesting was a speaker who addressed the adaptation to AI, there are the early participants, the new participants, and those who are completely ignoring how AI will make the lending world change. Then, this weekend there was a news article about a group of college students who are working on an AI application for the title insurance business. Think of the massive benefits that would occur if AI can improve the efficiencies and reduce the costs of title insurance on a mortgage transaction. This is truly “out of the box thinking.”

Though, one thing is very clear to me about long-term success – relationships are paramount to the mortgage lending business.  While the manner in how the mortgage lending life cycle will change via the use of new technology applications, this is a business that is driven by referrals and relationships. In other words, folks do business with whom they trust. 

The key element for IMB’s, Credit Unions, and Community Banks to address in today’s market is how can your firm BLEND your team with new technology applications that drives your firm to serving those relationships in a manner that is better and more credible than the large mega-giant lending firm? What is your firm’s answer to this question? AND - Do you have a team that welcomes change? 

Clearly, there has been an implied panic that has been elevated in the market with the acquisition of Mr. Cooper and Refin by the Rocket Companies. YES – the statistics show that the combined companies will service one in every six mortgage loans that exist in the U.S. However, there is one thing that the mega-giant does not have - the circle of having built a direct relationship with the customer, one that is people-driven and not solely mega-size as the key element for success.  Giving you and your team the competitive edge, if you choose. 

With that in mind, the timing is perfect to put in place strategic, innovative thinking to drive your firm’s path forward.  Don’t wait to have this conversation once loan production volume increases – you will be at least 9 – 12 months behind in then implementing a Strategic Plan.  

Strategic Plans have several key elements:

·      Defining the goal

·      Timeline for execution of the goal

·      Budget to support the goal

·      People who manage and agree with the goal

·      Technology efficiencies that support the goal

The team at BlackFin Group has worked in many different facets of the lending business and has seen many different lending cycles and business models.  We can be your partner in developing your firm’s future Strategic Plan and executing that plan.  Our door is open – is your door open, too?

Luana Slettedahl is a Principal Consultant with BlackFin Group in the Mortgage Strategy Practice. Luana brings forty years of diversified experience in Capital Markets, Mortgage Servicing Rights, GSE and Ginnie Mae relationship management and Seller / Servicer requirements.  Her understanding of how to successfully do business with the GSE’s and Ginnie Mae, has made her a significant asset to her clients. For more information contact info@blackfin-group.com