How to Become a Mortgage

Broker/Originator

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HOW TO BECOME A MORTGAGE BROKER/ORIGINATOR.......................................................... 1
EDUCATIONAL REQUIREMENTS ................................................................................................................... 3
THE MORTGAGE PROCESS ........................................................................................................................... 3
Prequalification and Preapproval.......................................................................................................... 3
Loan Application (1003)......................................................................................................................... 4
Common Problems ................................................................................................................................. 5
PROCESSING THE MORTGAGE LOAN............................................................................................................ 5
UNDERWRITING........................................................................................................................................... 7
WORKING WITH LENDERS ......................................................................................................................... 11
Applications: ........................................................................................................................................ 11
Requirements ........................................................................................................................................ 20
WORKING WITH FANNIE MAE (EFANNIEMAE.COM) ................................................................................... 21
WORKING WITH FREDDIE MAC (WWW.FREDDIEMAC.COM) ....................................................................... 24
ADVERTISING ............................................................................................................................................ 31
GREAT LINKS ............................................................................................................................................ 31

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Educational Requirements

Each state has it’s own requirements for becoming a licensed mortgage
broker/originator. For more information on a specific state’s requirements contact
the State Mortgage Broker’s Association:

http://www.mortgageoriginator.com/FSG/MortgageOriginator/Main+Links/State
+Mortgage+Broker+Associations.htm?NRMODE=Published&NRORIGINALUR
L=%2fFSG%2fMortgageOriginator%2fdefault%2ehtm

The most comprehensive mortgage and real estate education online site is:

www.campusmba.com

Campusmba offers audio, print and web based courses to choose from.

Having a background in real estate is not required but very beneficial. Especially
when it comes to title searches, contracts and dealing with other real estate agents,
which is unavoidable. A real estate license can be obtained online but this is
giving you only book knowledge and working for or closely with experienced
agents is the best form of education. For more information on obtaining your real
estate license online check out these sites:

http://www.abcrealestateschool.com/state_licensing_information.htm
http://www.loanofficerschool.com
http://www.realestatelicense.com

The Mortgage Process

1. Origination – completing the application

2. Processing – collection of data
3. Underwriting – approval of the transaction
4. Insuring – obtaining insurance/guarantee commitment
5. Selling – marketing the loan
6. Closing – disbursement of funds
7. Shipping – submission of the loan to an investor

Prequalification and Preapproval

A prequalification is based on non-verified figures or information as compared to

product guidelines. It is not a loan commitment.

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 A preapproval is based on actual information that has been received or subject to
the receipt and satisfactory review of required documentation. This is a loan
commitment; however, the borrower must still meet and satisfy any condition or
stipulation that is placed on that pre-approval.

Highlight the areas the borrower(s) will sign and date on each form. The
originator should ask for vital documents such as the past two years W-2 forms, a
current 30 day pay stub, and the past three months bank statements to verify
assets that will be used as funds to close.

Loan Application (1003)

Section I: Type of Mortgage and Terms of Loan – this determines the required
documentation and qualifications for your loan. Every blank field must be
completed.

Section II: Property Information and Purpose of Loan – Each part should be
completed as necessary for purchase, refinance or construction-permanent
financing. Keep in mind that Cash to Close is not an option. Funds must be
verifiable and seasoned. Seasoned usually means 6 months to a year.

Section III: Borrower Information – A two year history must be listed. Include
rent or own and the number of years. If “rent”, get the landlord’s name, address
and telephone number for verification purposes.

Section IV: Employment Information – A two year history is required. For

verification purposes include an employer contact person and phone number. An
explanation for gaps in employment will also be required. If the applicant was in
school in the past two years, a copy of the degree and/or transcripts will be
required.

Section V: Monthly Income and Combined Housing Expense Information – Be

sure to put the correct income in the correct section and to complete the Borrower,
Co-borrower, Total and Other Income sections. Income entered must be Gross
Monthly income – using an annual or hourly amount will slow the loan process.

Section VI: Assets and Liabilities – When listing checking and savings accounts
be sure to provide the name, address, and account number for funds that will be
used at closing and for reserves. Be sure to include the name, address, account
number, payment, number of months and type of loan for each liability and
clearly mark liabilities that are to be paid off.

Section VII: Details of Transaction – details of the loan transaction including

purchase price or refinance amount, closing costs, prepaids, land, cost of
improvements and discount points. It also lists any credits the borrower has

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 already paid. Give the applicant an estimate of the total cost and funds that will
change hands at closing.

Section VIII: Declarations – every line must be marked yes or no.

Section IX: Acknowledgement and Agreement – applicant must sign and date this
section.

Section X: Information for Government Monitoring Purposes – complete for each

loan.

Common Problems

Missing signatures
Missing or incorrect dates
No induction of probability of continuing employment on VOE
Corrections or cross-o9uts that have not been initialed
Gift letter not signed by donor
Unsigned tax returns or business financial documents

Processing the Mortgage Loan

1. Origination – completing the application (1003). This form contains

borrower and co-borrower information regarding residency and
employment history, income sources, sources of funds for the
mortgage, assets, other real estate owned, type of transaction,
liabilities. The accuracy of the information depends mostly on the
originator asking the right questions. When the originator takes the
application be prepared to provide the applicant with information on
loan programs and requirements, tell the applicant of any additional
information needed, hand out required government literature and fulfill
the Good Faith Estimate and the Truth in Lending and collect
necessary fees.
2. Processing – all documents are examined for omissions,
inconsistencies or errors, final papers are assembled and the package is
prepared for underwriting.
3. Underwriting – a decision is made by the underwriter or loan
committee whether to offer the applicant a mortgage loan on the terms
described in the package. This is where Fannie Mae and Freddie Mac
play such a large role with their automated underwriting (AU)
services. The decision is based on the applicant’s creditworthiness.

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4. Loan Closing and Funding – after receiving the signed agreement from
the applicant the lender will set a closing date, conduct a title search,
arrange for title and hazard insurance, order the survey and prepare
final loan documents.
5. The Sales Contract – a written, legally binding agreement between a
buyer and seller, required prior to processing the loan. Contains
pertinent information such as property address, legal description, price,
etc. Contracts sometimes include addendums and/or exhibits which
should be provided with the contract.
6. Prequalification Worksheet – after taking the application, the
originator can complete the prequalification worksheet. This evaluates
the borrower to determine qualification for the mortgage. Quickly
determining the borrower’s qualifications can save you time and the
borrower money.
7. Real Estate Settlement Procedures Act – Good Faith Estimate of
charges for specific settlement services, a HUD information booklet, a
sample settlement statement.
8. Truth in Lending Act – protects the rights of purchasers to know the
costs and the credit terms involved in personal consumer credit
transactions such as the purchase of a home.
9. Equal Credit Opportunity Act – prohibits discrimination in any aspect
of a credit transaction.
10. Fair Credit Reporting Act – ensures consumer reporting agencies and
businesses using credit reports uses fair, confidential and accurate
reporting methods.
11. Fair Housing Act – prohibits discrimination in granting mortgage or
home improvement loans.
12. Flood Disaster Protection Act – enables the National Flood Insurance
Program to make flood insurance available in flood-prone areas at
reasonable costs.
13. The Privacy Act – lender may not require any information that does
not have a direct bearing on eligibility.
14. The Loan Application – used to compile information necessary for
processing a loan. Make sure your applicant signs the application.
Sometimes called the Uniform Residential Loan Application or the
1003.

For a variety of reasons applicants often provide incomplete or incorrect

facts during the interview. Lenders need to have the information verified
and use support documents such as the appraisal and verification of
employment (VOE).

The appraisal is an estimate of the fair market value of the property which
is a basis for deciding the maximum loan the lender will make.

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 The request for Verification of Employment (VOE) uses Form 1005. Part
II is for present employment and Part III is for previous employment. If
employed for less than two years at present position, originator needs to
send one request to present employer and all past employers for a two year
period.

The request for Verification of Deposit (VOD) uses Form 1006 and filled
out with applicant providing the information for Part I. Part II is filled out
by the institution. Be sure addresses and account numbers are correct.

The credit report is a judgement tool that reflects the willingness of the
borrower to repay debt in a timely and responsible manner. The
borrower’s past credit history is used to predict future intent.

Other support documents include divorce papers, separation agreements,

gift letters, pledged accounts.

Underwriting

Underwriting is the step of the mortgage process during which the decision is
made whether to finance the mortgage loan for the applicant. The decision is
made by answering questions in three areas:

Capacity – does the borrower have the financial capacity to repay the loan
Credit – if the applicant can afford to pay, does their past experience indicate that
they have the self-discipline to make the payments
Collateral – if the borrower stops making payments, are the property and other
assets sufficiently valuable to recoup the loan amount

To evaluate most loans use the appraisal to determine the acceptability and long
term value of the property. Determine the loan meets the requirements of the
lender. Analyze the credit report to determine the probability of the applicant
making prompt and regular mortgage payments. Determine whether the borrower
will have funds to pay closing costs.

You must know the Loan to Value (LTV) acceptable to the lender. LTV = The
loan amount divided by either the sales price or the appraised value, whichever is
less.

The monthly housing expense ratio compares the borrower’s projected total
monthly housing expense with the borrower’s total monthly income. Monthly
housing expense includes the PITI (principal, interest, taxes and insurance)
payment. Principal and interest for any secondary financing and homeowner’s
association dues should be included in the total monthly mortgage payment.

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Calculate the monthly housing expense ratio by dividing the total monthly
housing expense by the total monthly income.

Total monthly debt divided b y total income equals total debt-to-income ratio. Do
not include any debts that will be paid off when the loan is completed.

The best guide to a person’s future action is past actions. Start with the applicant’s
credit history. Each adverse credit rating points to an increase of 2 to 4 times the
likelihood of default. In evaluating credit be sure the borrower has demonstrated a
willingness to pay obligations as agreed and proven ability to manage finances
over time and under different circumstances. Keep in mind that the borrower’s
overall pattern of making payments is more important than an occasional late
payment.

Both Fannie Mae and Freddie Mac support credit scores and the reasons as
effective tools in evaluating a borrower’s credit reputation. Most credit scores
come from Equifax, Trans Union and Experian. FICO scores typically range from
400 to 900. The lower the FICO score a borrower has the greater the risk for
default on a loan.

Since borrowers may not use the types of credit traditionally report by the credit
agencies, alternative methods of documenting and evaluating their credit history
must be used. If they require the borrower to make periodic payments on a regular
basis consider using monthly rental payments for current and previous addresses,
utility bills, property tax payments, auto and life insurance payments, medical bill
payments, store credit, school tuition and/or child care.

Review the borrower’s credit history over the past seven years to determine
whether there are any major indications of derogatory credit such as bankruptcies
or judgements. The borrower’s history can usually be deemed acceptable even if
there are minor instances of poor creditor or late payments. If there are recent
large payments the lender may require a satisfactory explanation written by the
borrower.

The borrower’s mortgage or rental payment history is the best indicator of the
borrower’s commitment to the new mortgage payment. Numerous 30-day
delinquencies on housing payments are clear indications of a higher risk
borrower. Borrowers must not have more than one payment that has been 30 days
late during the past 12 months. There should not be any 30 day lates during the
last three months. The mortgage payment history must be computer generated,
clearly identify the borrower and the mortgage, show the total mortgage payment
due and the due date of each payment, a 12 month history of the dates when
payments were applied and the current outstanding principal balance.

Any bankruptcy must have been discharged at least two years prior to the loan
application date. The bankruptcy should be due to extenuating circumstances

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 properly documented in the loan file. The borrower should have reestablished
excellent traditional credit from four new creditors with 12 months history with
each. Alternative credit may not be used to reestablish credit.

Any source of funds for a downpayment and closing costs should be verified as
having been available as a liquid asset for a minimum of two months prior to the
application date of the mortgage. The applicant must prove the value of assets
being sold such as stocks, bonds or insurance policies.

If the earnest money deposit listed on the sales contract is over 2% of the sales
price the source of funds should be verified. If the borrower has assets verified
which are sufficient to cover the deposit, down payment and closing costs, no
additional verifications are needed. Acceptable verification includes the two most
recent bank statements or a Verification of Deposit indicating an average balance
for the past two months sufficient to make the earnest money deposit.

Gifts to the borrower for use in the transaction are acceptable within the following
parameters:

• A minimum of 5% of the funds invested in the transacting is from the

borrower’s own liquid assets. This 5% can be neither gifted nor borrowed.
• A gift letter must be supplied from the donor which provides the amount of
the gift, the date of the gift, the donor’s name and address, the donor’s
relationship to the borrower and a statement indicating that no repayment of
the money is required.
• The gift may come from a relative, church, municipality or non-profit
organization.
• The gift funds must be verified in either the borrower’s or donor’s accounts.

Equipment Requirements –

The major software developers have similar hardware requirements, such as the
following:

CPU— Window XP requires a processor about 500MHz or above, whereas for Windows
98 a 133+MHz processor would suffice.
Memory—For Windows XP and 2000, at least 128MB of RAM is recommended,
whereas 64–128MB of RAM should be more than sufficient for Windows 98 and NT.
For Windows 95 we require no more than 24MB, though more is always better.
Storage Space—Typically, about 100–200MB of free space on your server plus the
necessary space for your internet browser.
CD-ROM—The software is distributed on CD-ROM, so you need at least one CD-ROM
drive on your network to install the program.
Display—We strongly recommend that you set your resolution to 800x600 or above
(1024x768 recommended), and the color depth to 16-bit (65,536 colors) or above.

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Therefore a SVGA monitor and display card are required, and 17-inch or bigger monitors
are preferred.
Input Device—Microsoft Compatible Mouse and Keyboard.
Modem—If you do not have a broadband connection to the Internet (DSL/Cable/T1),
then you need a modem to connect to the Internet using an Internet Service Provider
(ISP) dial-up account—56kb modem.
Network—We recommend a 100Mbit, or better, network with the equivalent switch(es).
For any network including more than a few workstations, we recommend using a
dedicated server, client/server instead of peer-to-peer. The software can also be used on a
stand-alone desktop or laptop computer but keep in mind the limited installations with
licensing.
Printer—Any Windows compatible printer should be able to print from the software you
choose. However, the forms require legal size paper and the printer you choose should be
able to handle it.

Calyx Software
Calyx Point is the heart of the solution and provides the breadth of forms, functionality, and flexibility that
loan officers and processors require. And like the product name itself, Point provides a single point to and
from which mortgage-based information is exchanged with a wide array of lenders and service providers.

Calyx PointMan contains most of the features and functionality of Point, but is tailored for the needs of a
loan officer. Because PointMan is fully compatible with Point, loan officers can easily transfer PointMan
files to the loan processor—via e-mail or a local area network—for processing in Point.

The Calyx Point Solution also includes Calyx WebCaster, an affordable subscription-based service that
makes it easy for mortgage brokers and direct lenders to have an attractive, fully functional web site in
minutes, not months. Prospective borrowers can complete a loan application online—application files are
automatically sent to the loan officer who opens them in Point or PointMan. The seamless integration
between WebCaster, PointMan, and Point reduces data entry time and enables the loan officer to respond
quickly to each prospective borrower.
www.calyxsoftware.com

Ellie Mae - Genesis/Contour - Genesis

Genesis is a powerful and sophisticated loan origination software program for smaller brokerages—
powerful in its broad range of useful features, sophisticated in its intuitive ease of use. A multi-generation
software product, Genesis makes real-world loan originators'jobs faster and easier by automating every
step of the process and eliminating mistakes and redundancies.
Genesis capabilities include:
• Prequalification. Genesis simplifies prequalification by minimizing data entry, then auto-
populating the correct fields using built-in data-flow routines, templates, and optimization
features.
• Origination, Processing and Tracking. Genesis automates every step of the loan origination
process, eliminates the need to enter information more than once, tracks and manages your
document inventory, and much more.
• Internet Access. Embedded in Genesis, Ellie Mae' s ePASS Business Center enables effortless (and
instantaneous) transactions with lenders, underwriters, and settlement service providers.
• Pipeline Reporting. This Genesis functionality analyzes loans in your system and reports daily,
monthly, or yearly, using any of several pre-built reports or your own custom reports.
• Contact Management. This Genesis functionality automates management of leads and simplifies
letter creation, mailings, and transfer of customer data to loan files—and can include optional data
on thousands of financial institutions.

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 • Word Processing. With Genesis, you can use either Microsoft Word or Genesis'own word
processor to create letters, forms, or mail-merge lists and populate them with stored loan
information.
• HMDA Reporting. Genesis includes fully integrated access to PCi’s Wiz Basic, the leading
HMDA compliance-management system.
• MortgageMail. This optional Genesis capability enables the secure transmission of loan packages
or closing documents from your desktop to anyone with an email address.
www.genesis2000.com

Working with Lenders

Applications:

Sign up with Fannie Mae and Freddie Mac first for automated underwriting:

http://epass.genesis2000.com/partner/fannie/sf_FannieIndex.asp#

http://epass.genesis2000.com/freddiemac.asp?adid=3406

Receive credit reports on-line (not all credit agencies are approved by all lenders):
1 Pacific CreditLine Services
1 Source Data
1 Source Data (Carlsbad)
1st Source Credit Reporting
700 Credit
AAA Credit, Inc.
ACBS, Inc.
Access Credit Reports, LLC
Accudata Credit Systems
ACRAnet
ACRAnet (CBS Branch)
ACRAnet (New York Branch)
ACRAnet - CARS
Advance Credit Systems, Inc.
Advanced Credit Solution
Advanced Information Services, Inc .
Advanced Reporting
Advanced Residential Credit Co, Inc.
Advantage Credit Advantage Credit of Colorado, Inc.
Advantage Plus Credit Reporting, Inc.
AIR Credit Reporting, Inc.
All Credit Corporation
Alliance Credit Services
American Reporting Company, LLC
American Reporting Company, LLC (Powered by MeridianLink)

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Ann Arbor Credit Bureau, Inc.
AQM Information Solutions, Inc.
Associated Credit Systems, Inc.
Automated Information Services, Inc.
Birchwood Credit Services, Inc.
Birchwood Credit Services, Inc. (Powered by ISS)
Cal Coast Credit Reports
CBA Information Services
CBC Companies
CBY Systems, Inc.
CCIS Mortgage Services
CDS Mortgage Reports, Inc.
Certified Credit Link, Inc.
Certified Credit Link, Inc. (Powered by Synergistic)
Certified Credit Reporting
Certified Credit Reporting (Powered by Synergistic)
Certified Credit Reporting - Florida (Powered by Synergistic)
Chase Credit Systems, Inc.
ChoiceDATA
CIBMS
CIS Information Services
CISCO Credit (Powered by Chase)
CISCO Credit (Powered by MeridianLink)
CommCo Credit Information Services, Inc.
Commerce Credit Bureau, Inc.
CPSG
CREDCO by First American
Credit America
Credit Bureau Associates-Northeast
Credit Bureau Central, Inc.
Credit Bureau of Jackson, Inc.
Credit Bureau of San Luis Obispo & Santa Barbara Counties
Credit Bureau of the Pacific
Credit Bureau Services Ft Laud FL (Powered by MeridianLink)
Credit Communications, Inc.
Credit Data of Illinois, Inc.
Credit Data Services of Florida (Powered by INFO1)
Credit Data Services of Florida (Powered by MeridianLink)
Credit Data Systems, Inc. (Meridian MS)
Credit Infonet, Inc.
Credit Infonet, Inc. (Powered by Webstar)
Credit Information Bureau of Rhode Island
Credit Information Center
Credit Information Research, Inc.
Credit Information Service, Inc.
Credit Link, LLC

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Credit Masters
Credit On Line
Credit Plus
Credit Quick Services
Credit Report Services
Credit Research, Inc. (Powered by CSD)
Credit Research, Inc. (Powered by ISS)
Credit Services, Inc.
Credit Technologies, Inc.
CreditData.net (San Diego)
CTI, Credit Technology, Inc.
Cuzzens Credit Bureau
Data Facts, Inc.
Data Facts, Inc. (Powered by Synergistic)
DCI Credit Services, Inc.
E Check
Eastern Credit Research, Inc.
Equidata Equifax
Executive Reporting Services by First American
Factual Data Credit
Factual Data Reports, Inc. (Powered By MeridianLink)
Factual Information Bureau, Inc.
Far West Credit, Inc. (FWC-Online)
Fidelity National Information Solutions
Fidelity National Information Solutions, Powered by FNCS.com
Financial Data Reports, Inc
First American Credco and Executive Reporting Services
First Check
First Lenders Equity, Inc.
First Magnus Credit Services
Fredericksburg Credit Bureau, Inc.
Fuller Financial Credit
Henning Credit
Horizon Credit Services, Inc.
HSP Credit Services, Inc.
ICC Credit
INFO1
Information Network
Informative Research
Innovative Credit Services, Inc.
LandSafe
Lenders'Credit Services, Inc.
MCB - Augusta
MCB-Savannah
MCR of America
MCR of America (Powered by Synergistic)

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Merchants & Professional Credit Bureau, Inc.
Merchants Association of Florida, Inc.
Merchants Credit Bureau of Hollywood, FL
Metropolitan Credit Services
Midwest Mortgage Credit Services, Inc.
Mortgage Credit Services
Mortgage Credit Services (CA). Powered by MeridianLink Mortgage
Credit Solutions, Inc.
Mortgage Fax, Inc.
Mortgage Information Source, Inc.
Mortgage Reporting Centre
Mortgage Reporting Services
Mortgage Reporting Specialist
Mortgage Reports, Inc.
National Credit Check
National Credit Reports, Inc.
National Mortgage Reporting
Nationwide Commercial Services, Inc.
Nationwide Credit Data
NCO Credit Services
NCO Credit Services (Powered by Synergistic)
Network Credit Services
NMR-eMerge
North American Credit services
Northern California Credit Service, Inc.
Northern California Credit Service, Inc. (Sponsor by NCRA)
Northwest Mortgage Reporting, Inc.
Old Republic Credit Services
One Source Credit Reporting, LLC
ONLINE Mortgage Reports
Porter Ranch Credit Corporation
Preferred Credit Services
Premier Information Center
Premium Credit Bureau
Prestige Credit Services
Priority Credit Reporting Agency
Pro Com Services Corporation
Pyramid Credit Services, Inc.
Pyramid Credit Services, Inc. (Powered by Synergistic)
QC Credit Agency
Quality Credit Corporation
Quality Credit Corporation (Powered by Webstar)
Quality Credit Data, Inc.
Quality Mortgage Reporting (QMR)
Rapid Credit Reports, Inc.
Rapid Research Credit Services, Inc.

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 RICP
Royal Mortgage Credit (Powered by Chase)
Royal Mortgage Credit (Powered by MeridianLink)
San Antonio Retail Merchants Association (SARMA)
Standfacts Credit Services
StateWide Credit Services
Strategic Information Resources, Inc. (Sponsor by IR)
Sunrise Credit Services
SW Credit Services, Inc.
The Credit Network
TransUnion Settlement Solutions, Inc.
United One Resources, Inc.
Unity Group L.L.C.
Universal Credit Services, Inc.
US Credit Services Webstar

Then you are ready to work with lenders:

Aames Direct
Bank of America
CMG Mortgage, Inc.
DeepGreen Bank
First Magnus
Flagstar Bank
Gateway Bank
GN Mortgage
GreenPoint Mortgage
Impac Lending
IndyMac Bank
Master Financial
New Century Mortgage
WMC Direct
1st 2nd Mortgage Company
21st Mortgage Corporation
ABN AMRO Mtg. Group/Interfirst
Accubanc Mortgage
Advantage Investors Mortgage Corp
Alliance Mortgage
Allied Mortgage Corporation
America Home Key
American Federal Mortgage
American Fidelity, Inc.
American Financial Network Inc.
American Home Mortgage Corporation
American Mortgage Network, Inc.
American Savings Bank, F.S.B.

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American Sterling Bank
Argo Federal Savings Bank
Associated Mortgage Inc.
Astoria Federal Savings and Loan Association
BA Mortgage LLC
BancMortgage Financial Corporation
BancorpSouth Bank
Bank First National
Bank of Hawaii
Bank of North Dakota
Bank One Mortgage
Bankers Bank
Bankers Guarantee Title and Trust Company
BankUnited, Federal Savings Bank
BankUSA
BB&T
Benchmark Mortgage Inc.
BrooksAmerica Mortgage
Cal Coast Mortgage Corporation
Cambridgeport Bank
Cardinal Financial Company
Castle Mortgage
Cendant Mortgage Corporation
Central Illinois Bank
Century Mortgage Corporation
Chapel Mortgage
Charter Bank
Charter One Mortgage Corp.
Chase Correspondent
Chase Manhattan Mortgage - Wholesale
Chattanooga Neighborhood Enterprise Inc.
Cherry Creek Mortgage Company
Chevy Chase Bank FSB
Cimarron Mortgage Company
Citibank, N. A.
CitiMortgage, Inc./Correspondent
CitiMortgage, Inc./Wholesale
Citizens Bank Mortgage Corporation
City Bank
Coastal Funding
Colonial Bancorp, a division of California Mortgage Service
Colonial Bank
Colonial Savings FA
Columbia River Bank
Columbus Federal Savings Bank
ComCor Mortgage Corporation

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Commercial Federal Mortgage Corporation
Commonwealth United Mortgage
ComUnity Lending
Concord Mortgage
Construction Loan Company, Inc. dba Member Home Lending Services
Continental Capital Corporation
Corinthian
Crescent Bank and Trust Company
Crescent Mortgage Services
CUC Mortgage
DIME
Dollar Mortgage Corporation
Draper and Kramer Mortgage Corp.
E*TRADE Bank
Eagle Home Mortgage Inc.
El Dorado Bank
EMI Equity Mortgage, Inc.
Evergreen Money Source
Federal Guaranty Mortgage Company Inc.
Fieldstone Mortgage Company
First Bank Mortgage
First Federal Lincoln Bank
First Federal Savings and Loan Association of Charleston, SC
First Federal Savings Bank of America
First Federal Savings Bank of the Midwest
First Guaranty Mortgage Corporation
First Hawaiian Bank
First Home Mortgage Corporation
First Horizon Home Loans
First Interstate Financial
First Merit Mortgage
First Mortgage Company, L.L.C.
First Mortgage Corporation
First Mutual Bank
First National Bank of Christianburg
First National Bank of Omaha
First Nationwide Mortgage Corporation
First Preference Mortgage Corporation
First Union/Wachovia - Correspondent
Firstar Bank, NA
FirstBank Puerto Rico
Flick Mortgage Investors, Inc.
Franklin American
GE Capital Mortgage Services
George Mason Mortgage, LLC
GMAC Mortgage Corp

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Gold Banc Mortgage, Inc.
Guaranty Bank SSB
Guaranty Residential Lending, Inc.
Harbor Financial Mortgage Corporation
Heartwell Mortgage Corporation
Hibernia National Bank
Home Federal Mortgage Services
Home Star Mortgage Services
Homeowners Mortgage Enterprises
Homestead Mortgage Company
Howard Hanna
HSBC
Iowa Bankers Mortgage
Irwin Mortgage Corporation
Ivanhoe Financial Inc.
Lancaster Mortgage Services
Lehman Brothers Bank, FSB
Lender LTD.
Liberty Lending Services Inc.
Liberty Mortgage Corporation
Life Bank
LoanCity.com
M&T Mortgage
Matri
Financial Services Corporation
Members Mortgage Company Inc.
Merchants Bank
Merchants National Bank of Winona
Meriwest Mortgage Corporation
Metropolitan Bank & Trust
Mitchell Mortgage Company L.L.C.
Monument Mortgage Inc.
Mortgage Acceptance Corporation dba MAC Loan, Inc.
Mortgage Network
Mortgage Portfolio Services
Mortgage Services of Illinois
MortgageAmerica Inc.
National Bank of Commerce
National City Mtg.
Nationwide Home Mortgage Company
nBank, N.A.
NetFirst Mortgage.Net, Inc.
New America Financial, Inc.
New Line Mortgage
Novastar Mortgage, Inc.
Ohio Savings Bank

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Olympia Mortgage Corporation
Pacific Mercantile Bank
Pacific Republic Mortgage Corporation
Penn Federal Savings Bank
Pfefferkorn Mortgage
Pinnacle Financial Corporation
Plymouth Savings Bank
PNB Community Mortgage
Popular Mortgage Corp.
Popular Mortgage, Inc. dba Popular Home Mortgage
Portland Mortgage Company
Primary Capital Advisors, LC d/b/a Primary Capital Mortgage
Principal Residential
Principal Wholesale
Provident Bank of Maryland
Provident Savings Bank
RBMG
Realty Mortgage
Regions Bank
Regions Mortgage
Republic Mortgage Home Loans
Residential Capital Corp.
Residential Funding Corp
Ridgewood Savings Bank
Riverway Bank
Santander Mortgage Corporation
Schmidt Mortgage Company
SCME Mortgage Bankers, Inc.
Sebring Capital Corporation
Second National Bank of Warren
Secured Bankers Mortgage Company
Security Bank
Security National Mortgage
SGB Corporation
SI Bank and Trust
SIB Mortgage Corporation d/b/a Ivy Mortgage
Sidus Financial Corporation
Sierra Pacific Home Loans
Sierra Pacific Mortgage
Southstar Funding
Sovereign Bank, A Federal Savings Bank
St. Francis Bank FSB
Standard Mortgage Corporation
Standard Mortgage Corporation of Georgia
Star Financial Bank
State Bank of Lincoln

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Sterling Bank & Trust
Summit Lending of Hawaii, LLC
Summit Mortgage Corporation
Sun Trust Mortgage Corporation - Correspondent
Sunshine Mortgage Corporation
Synovus Mortgage Corporation
Taylor, Bean & Whitaker
TCF Mortgage
Terrace Mortgage Company
The Crossfire Financial Network Inc.
The Huntington Mortgage Company
TIB-The Independent BankersBank
Transland Financial Services Inc.
Transnational Financial Corporation
Trustmark National Bank
U. S. Mortgage Corp.
U.S. Bank Home Mortgage
U.S.A. Mortgage Bankers Corporation
Union Federal
Union Federal Bank of Indianapolis
Union Planters Bank NA
United California Systems International Inc.
United Capital Mortgage Corporation
United Financial Mortgage Corp.
United Mortgage Investors Inc.
Universal Lending Corporation
Universal Mortgage Corporation
Universal Savings Bank FA
University Bank
Washington Mutual Bank, F.A.
Washtenaw Mortgage Company
Webster Bank
Wells Fargo Funding
Wells Fargo Wholesale Lending

Requirements
Apply with hundreds of lenders but maintain a close relationship with a handful.
The application process can take several weeks and the learning curve for each
lender can be great. Find lenders with an easy to understand matrix, a real person
you can talk to, ask questions and get good answers consistently, use automated
underwriting and provide clear instructions on what they expect.

Each lender will have a stacking order that is a required order of documents
before submitting the documents to the lender for their approval. After the loan

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 has closed you then have to adjust the stacking order for the file according to the
state requirements.

Lenders are willing to send to you a matrix that will outline the current rates
according to the type program you are interested in. Two lenders,
www.loancity.com and www.cwbc.com both provide you with the applicable
rates and the yield spread (the rate the broker gets for putting together the
borrower and the lender if the loan closes) at the same time as approving of the
borrower’s information. But most lenders don’t make it that easy. Usually a chart
is provided to you with the day’s available rates and the yield spread is according
to how many days before you close. If you do not close within that time frame the
borrower/broker will be charged a percentage more based on the loan amount.
The yield spread is also the amount it will require for the borrower to buy down
the rate. But that’s not all. There are adjustments to the yield spread if the loan
amount falls within a certain range, more adjustments for credit scores, the state
the loan is processed in, and the loan program itself. Have the lender’s
representative go over the matrix and how to determine the final percentage that
represents the yield spread for their company. It can be very complicated.

Another reason to maintain a close relationship with a handful of lenders is they

all have hundreds of loan programs and remembering the restrictions for each
loan program is taxing. Remember that all lenders want their potential borrowers
to comply with the restrictions of Fannie Mae or Freddie Mac. That is when
automated underwriting becomes so helpful. Input the borrower’s information
through the lender’s site, upload through your origination software or go directly
to Fannie Mae (efanniemae.com) or Freddie Mac (freddiemac.com). The resulting
report will show the originator where the borrower needs to work on their credit
report, provided more of a downpayment or provide more documentation to
qualify for specific loan programs.

Working with Fannie Mae (efanniemae.com)

The Loan List is the first screen you see when you log in to DU. If your user ID
provides access to retail lender functionality, you can use the Loan List to create
or import a loan or to view a list of existing loans. To create a new casefile for the
loan, click the Create Loan button.

A new Quick 1003 opens. The Quick 1003 is an electronic version of the Uniform
Residential Loan Application (1003). The first screen in the Quick 1003 allows
you to enter data for the Type of Mortgage and Terms of Loan, and for the
Subject Property, Address and Purpose of Loan. At the top of this screen, enter
the necessary mortgage data.

Scroll down to the Subject Property Address and Purpose of Loan section and
enter the necessary data. Because this is a purchase transaction, select Purchase

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in the Purpose of Loan field. To continue to the next screen in the Quick 1003,
click Next.

If the borrower or co-borrower uses a different mailing address than the present
address, enter this information in the Mailing Address section.

If the borrower and co-borrower share the same present address or mailing
address, you can quickly copy the address to the co-borrower’s side of the screen
by clicking the Present Address or Mailing Address check box.

If there are additional borrowers on the loan or if the borrower and co-borrower
do not share assets and liabilities, you must create a separate loan application
within the casefile. You must do this if the loan includes a non-occupant borrower
or co-borrower. To add a separate loan application to the casefile, click Insert
More Borrowers.

To continue entering data, you can click Next to continue to the next screen in the
Quick 1003, or you can click one of the links in the navigation bar on the left side
of the Quick 1003. At this point you have sufficient information to order or
reissue credit reports for the borrowers on the loan. When you create a new loan,
you must complete the Types, Terms and Property screen and the Borrower
Information screen before you can request a credit report or enter data into any of
the other sections. Once you finish entering the borrower information, you can
move freely to any other section.

If you clicked Next in Step 5, the Employment Information screen appears. Enter
the name of each borrower’s current employer and the number of years and
months each borrower has been on the current job. For each job you enter, you
must select Yes or No in the Self Emp field to indicate whether the borrower is
self-employed on that job. Do not use the Employment Information screen to
enter data for a homemaker, full-time student, or retired borrower. Only active
employment information should be entered in this screen. If you enter any data in
the Employer Name field, you will receive a Findings message that asks you to
verify the employment. Any income that does not come directly from
employment should be entered in the Other Income section of the Monthly
Income and Combined Housing Expense Information screen. If a borrower is
currently working at a second job, enter the data for that job in a separate row
under Secondary/Previous Employment Information and select Secondary in the
Status field. In some cases, you may also need to enter information about a
borrower’s previous employment. To enter data for a previous job, use a separate
row under Secondary/Previous Employment Information, and select Previous in
the Status field. To continue, click Next.

The next section in the Quick 1003 allows you to enter data about the borrowers’
income and current and proposed housing expenses. Enter the necessary data
about the borrower’s monthly income at the top of the screen. The Base Income

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field should include income from the borrower’s primary job, along with any
income that the borrower receives from second jobs that you entered in the
Employment screen. The Other field shows the rolled-up total of the amounts
entered in the Other Income section of the screen. To place an amount in the
Other field, you’ll first need to scroll down to Other Income and enter the data
there.

Scroll down to the Combined Housing Expense section and enter the necessary
data about the borrower’s current and proposed housing expenses. DU calculates
the totals for you. To continue to the next screen, click Next.

In the Assets screen, enter the borrower’s asset information. To continue to the
next screen, click Next.

The quickest way to use the Liabilities screen is to let DU copy the liabilities for
you from the credit report. To do this, you will use the autopopulated liabilities
feature in the credit ordering screen. All non-mortgage liabilities appear in the
Liabilities section at the top of the screen. To insert additional liabilities, click
Insert More Liabilities.

If the borrowers are selling their current primary residence, you will need to
match the necessary mortgage liabilities with this property. Scroll down to the
Mortgage Liabilities (HELOC, Mortgage) section of the Liabilities screen and
click Paid by Close for each mortgage liability that is associated with the
borrower’s current primary residence. To enter the data for the borrower’s current
primary residence, click Edit/Insert REO Properties. The Current REO
Properties screen appears.

To identify the borrower’s current primary residence, select Current Residence

in the Property Indicator field. The system automatically fills in the Property
Owner and Property Street Address fields from the information you entered in the
Borrower Information screen. Select Pending Sale or Sold as the property
disposition. Click OK to return to the Liabilities screen.

Select the current address in the Related Property field for each mortgage
liability that is associated with the borrower’s current primary residence.

If the borrower is required to make alimony, child support, or separate

maintenance payments for more than ten months, you must enter the monthly
payment amount in the Additional Expenses section at the bottom of the
Liabilities screen. You must also answer Yes to Question G in the Declarations
screen for the appropriate borrower. If you enter a monthly payment amount but
you don’t enter a number in the Months Left to Pay field, the payment will always
be included in DU’s total expense ratio calculation. To continue to the next
screen, click Next.

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 Enter the necessary data in the Details of Transaction screen. To continue to the
next screen, click Next.

By default, most of the questions at the top of the Declarations screen are already
answered for you. However, before you submit the loan for an underwriting
recommendation, you must provide an answer to Question L for all borrowers.

Scroll down to the Information for Government Monitoring Purposes section and
enter the necessary data. When appropriate, you can select multiple race
categories for each individual borrower. For applications taken by telephone, you
must ask for this information, but you cannot require the applicant to provide it.
You should inform the applicant that the federal government is requesting this
information in order to monitor compliance with federal statutes that prohibit
lenders from discriminating against applicants on these bases. For applications
taken in person, you must ask for this information, but you cannot require the
applicant to provide it. If the applicant chooses not to provide the information, to
the extent possible, you should note the information on the basis of visual
observation or surname. You should also inform the applicant that if the
information is not provided you are required to note the data on the basis of visual
observation or surname. Although the information in this section is not required to
qualify a borrower (or co-borrower) or underwrite a loan, this information is
required as a result of revisions to the Federal Reserve System’s Regulation C
(Home Mortgage Disclosure Act [HMDA[) and may be required at delivery to
Fannie Mae. To continue to the next screen, click Next.

Enter the necessary data in the Additional Data screen. To submit a loan for an
underwriting recommendation, you must always enter the property appraised
value and subject property type in this screen. The other entries in this screen
depend on the details of the loan you are submitting. If you are submitting a
conventional loan, and if you are not using a Fannie Mae Community Lending
product, you are now ready to submit the loan for an underwriting
recommendation. If you have not requested or reissued credit for the loan, you
will need to do so at this point. Click Submit.

Working with Freddie Mac (www.freddiemac.com)

Loan Prospector is an automated underwriting system (AUS) developed by
Freddie Mac to help underwriters make decisions on conforming, non-conforming
and jumbo loans. Like any AUS, Loan Prospector (LP) uses a common-sense
approach to providing underwriting recommendations based on credit risk. Using
basic information LP determines the risk factors in the loan file and provides
guidelines for documentation needed to validate the credit and collateral
information.

With LP the borrower profile determines the content of the loan file. Low risk
borrowers don’t’ have to produce unnecessary documentation and high risk

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 borrowers have the opportunity to make their case. The originator will know
immediately what documentation is needed and how to counsel every borrower
appropriately.

Data must be entered completely and correctly into the system so that what it
evaluates is a true picture of the loan.

Steps for Using LoanProspector.com - Enter Loan Application

This table provides the navigation steps for accessing the Loan Prospector
Automated Underwriting Service (AUS) by entering data directly into
LoanProspector.com.
To Login Follow these steps to login:
Step Action Result
1 Launch your Internet Browser. Browser window displays.
2 Enter the following address into the address line:
http://www. loanprospector.com/
3 Click Go. LoanProspector.com home page displays.
4 Click Login. Login prompt displays.
5 Enter the User Name and Password from your email message.
6 Click OK.
Note: If this is the first time you are using your User Name and Password, you will be
prompted to change your Password and complete the User Profile page.
7 Select Enter Loan Application. Loan File Setup page displays.
To Enter Data
Beginning with the Loan File Setup page, follow these steps to enter data:
1 Enter data on Loan File Setup page. You must enter at least one borrower name to
proceed. Note: If you have questions about a field, click the field label to access online
help.
2 Click Next. Loan Application Data page appears.
3 Enter data on the Loan Application Data page.
4 Click Next.
Note: Depending on loan characteristics such as FHA, ARM, Refinance, etc., additional
data entry pages may display. Additional data entry page, such as FHA page, or Request
Services page appears.
5 Enter data on additional data page(s) if applicable.
6 Click Next. Request Services page appears.
7 If you wish to order Additional Services, select the service on the Request Services
page and follow the online prompts to enter additional required data.
8 Click Submit.
Note: If data errors are detected, the Correct Errors page displays. Follow the on-line
instructions for correcting errors.
For lenders, the Confirm Submission page displays.
For brokers, the Assign Loan page displays.
To Assign Loan
For broker users, follow these steps to assign the loan:

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1 Select the appropriate Wholesaler (and Mortgage Service Provider, if applicable)
Selected wholesaler name displays.
2 Click Confirm. Assignment successful message displays.
To Confirm Submission and View Results
Follow these steps to confirm the submission and view the results:
1 Click Confirm Submit. Data submitted.
You are a lender A message displays confirming loan submission. You are a broker A
dialog box displays confirming successful loan assignment:
Click OK on the dialog box.
2 Option A: Wait for the results to display (2-4 minutes).
Option B: View the results later.
Option A: Results display.
Option B: Access unviewed results later.
To Access Unviewed Results
If you choose to view results later, follow these steps:
1 Select Unviewed Results from the navigation bar. Unviewed Results page displays.
2 Click the radio button next to the appropriate transaction. Loan transaction selected.
3 Click View Results from the navigation bar.
Helpful Hints
The following hints will help you use Freddie Mac' s AUS on LoanProspector.com:
1. You are responsible for the integrity of data submitted to our AUS from point of initial
loan application through time of loan delivery to Freddie Mac.
2. Online Help is just a click away -- select any underlined data field label for definitions,
valid values, etc.
3. When logging on to the service for the first time using a new User Name and
Password, you will be prompted to change your Password and complete the User Profile
page. Refer to the Loan Prospector Quick Tips online at
http://www.LoanProspector.com/about/pdf/quick_tips.pdf
4. Save your data every 20 minutes, especially when correcting errors, and before you
exit the browser.
5. Have a record of the LP AUS Key Number and AUS Transaction Number for each
transaction readily available. To avoid duplicate fees on resubmissions, enter the LP
AUS Key Number on the Loan File Setup page. The LP AUS Key Number is located
on the Feedback Certificate.
6. Unviewed Results are stored for 7 days. If you have not viewed the feedback within 7
days, use the Find Loans feature on the Loan Prospector Main page to access the loan
and view results.
If you have not viewed the credit reports within 7 days, resubmit the loan to access the
credit reports.
7. If you ordered Merged Credit on a previous submission, the AUS automatically de-
selects the Merged Credit option after it has processed that request. There is no need to
re-select the Merged Credit option after you have received your report. Re-ordering the
Merged Credit service after you' ve received your report may result in duplicate fees.
8. If you apply for No-appraisal MAF and elect not to use the option, you must deselect
the Noappraisal MAF option and resubmit to avoid the additional delivery fee.

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9. Use the Loan Prospector Welcome Center at www.LoanProspector.com/welcome to
help you get going with Loan Prospector.
10. Call 800 FREDDIE (lenders) or 888-LP ON WEB (brokers) for additional assistance.
Steps for Using LoanProspector.com – Send to Loan Prospector
This table provides navigation steps for accessing Freddie Mac’s Automated
Underwriting Service (AUS) using LoanProspector.com through an originating
website or loan origination system with 2-way data exchange capability.
To Login Follow these steps to login:
1 Select Send to Loan Prospector from your system.
Note: Depending on your system, the location of the Send to Loan Prospector option
may vary. Contact your system administrator (or vendor) for details. LoanProspector.com
login prompt displays.
2 Enter the User Name and Password from your email message. User Name and
Password entered.
3 Click OK.
Note: If this is the first time you are using your User Name and Password, you will be
prompted to change your Password and complete the User Profile page. Loan data is sent
to Loan Prospector AUS.
To Request Additional Services
When you select Request Services, you will see the Request Services page where you
can order Additional Services. Follow these steps to order additional services:
1 Select the service on the Request Services page.
2 Follow the online prompts to enter additional required data.
3 Select Submit from the navigation bar. Follow To Correct Errors steps or
skip to To Submit Loan steps.
Correct Errors page appears.
or:
¡ For lenders, Confirm Submission page displays.
¡ For brokers, Assign Loan page displays.
To Correct Errors
If there are data errors, or the data file is incomplete, the Correct Errors page displays.
Follow these steps to correct errors:
1 Click Continue on the Correct Errors page.
The first data page requiring corrections displays.
2 Locate the data fields(s) identified with a red X. Data errors identified and fields
located.
3 Correct the data in fields denoted with a red X. Use the Next button to view additional
pages containing data errors if applicable.
Note: If you have questions about a field, click the underlined field label to access online
Help.
To Submit Loan
Follow these steps to continue submitting the loan:
1 Select Submit from the navigation bar. For lenders, Confirm Submission page
displays. For brokers, Assign Loan page displays.
To Confirm Submission and View Results
Follow these steps to confirm the submission and view feedback:

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1 Click Confirm Submit. Data submitted for assessment. A message confirming
submission displays.
2 Option A: Wait for the results to display (2-4 minutes).
Option B: View the results later.
Option A: Results display.
Option B: Access Unviewed Results later.
To Access Unviewed Results
If you choose to view results later, follow these steps:
1 Select Unviewed Results from the navigation bar.
Unviewed Results page displays.
2 Click the radio button next to the appropriate transaction. Loan transaction selected.
3 Click View Results from the navigation bar.
To Send to Your System
If your system has 2-way data exchange capability, follow these steps to send key data
and assessment results:
1 Click Send to Your System from the navigation bar. Data saved to your system (or
originating website). Contact your system administrator (or vendor) for details.
Helpful Hints
The following hints will help you use LoanProspector.com:
1. You are responsible for the integrity of data submitted to our AUS from point of initial
loan application through time of loan delivery to Freddie Mac.
2. Online Help is just a click away -- select any underlined data field label for definitions,
valid values, etc.
3. When logging on to the service for the first time using a new User Name and
Password, you will be prompted to change your Password and complete the User Profile
page. Refer to the Loan Prospector Quick Tips online at
http://www.loanprospector.com/about/pdf/quick_tips.pdf.
4. Save your data every 20 minutes, especially when correcting errors, and before you
exit the browser.
5. Have a record of the LP AUS Key Number and AUS Transaction Number for each
transaction readily available. To avoid duplicate fees on resubmissions, enter the LP
AUS Key Number on the Loan File Setup page. The LP AUS Key Number is located
on the Feedback Certificate.
6. Unviewed Results is stored for 7 days. If you have not viewed the feedback within 7
days, select View Results from your system to access the loan and view feedback. If you
have not viewed the credit reports within 7 days, resubmit the loan to access the credit
reports.
7. If you ordered Merged Credit on a previous submission, the AUS automatically de-
selects the Merged Credit option after it has processed that request. There is no need to
re-select the Merged Credit option after you have received your report. Re-ordering the
Merged Credit service after you' ve received your report may result in duplicate fees.
8. If you apply for No-appraisal MAF and elect not to use the option, you must deselect
the Noappraisal MAF option and resubmit to avoid the additional delivery fee.
9. Use the Loan Prospector Welcome Center at www.LoanProspector.com/welcome to
help you get going with Loan Prospector.
10. Call 800 FREDDIE (lenders) or 888-LP ON WEB (brokers) for additional assistance.

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Training Tips for Originators

If you'
re a broker or loan officer, perhaps you assume that you' re done once the loan has
been originated. But much of what you do in this stage —evaluating and originating the
loan— affects other steps, as the loan moves through its life cycle. Errors in your
automated underwriting submission can impact the loan' s risk class and representation
and warranty status (for Sellers), and may result in increased fees.
Using automated underwriting and ensuring data integrity early in the process,
especially at the point-of-sale, makes a huge difference through the life of the loan.
1

Check and Double-check Your AU Data - Make Sure It's Accurate and
Complete
Verify all key borrower data, especially name, social security number, address, etc.
You' d be amazed at how many mistakes appear in essential borrower information,
which can cause unanticipated delivery fees down the road.
Borrower Name: Enter the complete borrower name, including middle initial and
suffix (Sr., Jr.), to ensure that Loan Prospector pulls accurate credit data for the
borrower.
Also, remember that all individuals who intend to sign the mortgage note must be
qualified, i.e., included on the AU submission.
Social Security Number (SSN): Remember to validate the borrower' s name, address
and SSN on the credit infiles. Discrepancies between the SSN entered in Loan
Prospector and the SSN provided at delivery may mean that your loan becomes a
Non-Loan Prospector mortgage, resulting in the assessment of a Non-Loan
Prospector Credit Score/Loan-to-Value ratio (CS/LTV) postsettlement delivery fee in
addition to other fees.
2

Why Does Your Lender Need the Final LP Transaction?

Because the data delivered to Freddie Mac must match the data in the final Loan
Prospector transaction (on or before the note date). Mortgages that contain
discrepancies between Loan Prospector and delivered mortgage data may be considered
Non-Loan Prospector mortgages and may be assessed a CS/LTV post-settlement
delivery fee.
3

Always include the LP Key Number on loan resubmissions, and with the loan file you
deliver to your wholesale lender. Here are three important reasons why:
• It' s required for all Loan Prospector mortgages, per the Guide.

• Resubmitting a loan without the LP Key Number will result in additional loan

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4

evaluation fees on your Loan Prospector account.

• Mortgages delivered without a valid LP Key Number are considered Non-LP

mortgages and may be assessed a non-LP CS/LTV post-settlement delivery fee,
in addition to other fees.
The bottom line is that forgetting the LP Key Number may cost your wholesale lender
more money, which could jeopardize the relationship that you have worked so hard to
build.
Always include the Feedback Certificate from your last submission in the paper file
you deliver to your wholesale lender.

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Advertising
Some great and cheap advertising options:

• Flyers, particularly at apartments, colleges, industrial workplaces any place where

there is a great turnover
• Large companies will sometimes allow you to place flyers within employee
information packets
• Ads within real estate magazines. A local real estate company may even share the
cost of one ad.
• Contact For Sale by Owners and offer suggestions on talking to potential purchasers
and offering prequalification
• Mass mailing postcards offering prequalification for free.

Great Links
www.mortgagebroker.org
www.efanniemae.com
www.freddiemac.com
www.mortgage-education.com
www.mbaa.org
www.loancity.com
www.countrywide.com

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