Lenders and Servicers need to stay abreast of market changes, understand them well, and adapt their business practices to suit the new normal. While this has always been true, it is even more so, amid the current COVID-19 pandemic situation.
For several lenders, the uncertainty of the market has caused internal lending guidelines to tighten up. With physical meetings not happening, how do we handle the complexities? How do we have those conversations with our referral partners and even those sometimes-difficult conversations with borrowers in our pipelines?
It is important to be armed with not only the current market but also what the future forecast may look like. This will allow originators to have fluid and educated conversations with clients and partners on when are the best time to move forward with their home purchases and/or refinances and when is a good time to lock their rates. This will also help provide the tools for borrowers to make the necessary decisions regarding their personal situations.
Transparency is truly the best policy in this business, as it helps to build trust and solidify a relationship. Communicating changes early and explaining the “why” behind those changes allows for brainstorming on ways to move forward during the time of change.
What truly defines us?
When times are tough, what defines us is how we react to those times. I am sure that most of the changes we are experiencing within our lending markets are temporary, and while we may never return to a full sense of “normal” following this pandemic, the market may level out to something a little more manageable again soon.
Now is a great time to sharpen your lending skillsets, invest in relevant technology, and deliver a superior customer experience to your borrowers. You must also explore new avenues to generate business and become an expert within your field. Stay focused, Stay motivated, Stay Positive, and Stay Safe.
PrivoCorp can assist lenders and servicers with their processing requirements. We are providing support to several lenders to process their refi volumes, and also helping servicers manage their forbearance volumes. Do reach out to us at firstname.lastname@example.org
Some of the ideas discussed in this blog featured in an article published on HousingWire titled ‘Lending in a new world: How to navigate this changing landscape’