The data underscore the opportunity for lenders to focus their resources on the market, on opportunities for housing stock
WASHINGTON, DC, April 18, 2022 (SEND2PRESS NEWSWIRE) – The Sales Boomerang, the industry’s leading mortgage lender information and retention system, today released its latest Mortgage Opportunity Report. The report for the first quarter of 2022 showed an increase in the opportunities for market loans and mortgages that could help lenders offset the decline in refi volume.
The Mortgage Opportunity Report is based on Boomerang sales system data to identify market opportunities related to current borrowers and lenders. To generate the report, Sales Boomerang looked at data from more than 170 home mortgage lenders using borrowers’ intelligence and retention tools to track millions of customer and candidate records. Sales Boomerang then calculated and compared the overall frequency with which these contact records triggered loan, scenario, and risk and retention opportunities alerts in the fourth quarter of 2021 and the first quarter of 2022.
Important findings *
Sales Boomerang loan opportunity alerts identify contacts within the database of a lender who is actively purchasing a home loan or who may be able to avail a new home loan. Across the sample group, the frequency of each type of warning in the first quarter of 2022 was as follows:
* Mortgage survey notice: 4.53% of contacts monitored (up 2.49% from fourth quarter) A customer or prospect has shopped with a competitor in the last 24 hours.
* EPO notice: 2.54% of monitored contacts (38.04% increase from the fourth quarter) A customer or prospect whose loan closed ≤ 6 months ago has been shopping with a competitor in the last 24 hours.
* Credit Improvement Notice: 1.77% of contacts monitored (55.26% increase from the fourth quarter) A customer or prospect has improved their FICO rating.
* New listing notice: 0.85% of contacts monitored (32.81% increase from the fourth quarter) A client or prospective customer has registered their home for sale.
* Equity Alert: 9.13% of contacts monitored (6.04% increase from the fourth quarter) The equity of a client or prospective client has increased.
* Interest rate notice: 4.33% of the contacts monitored (decrease of 14.60% from the fourth quarter) The interest rate of the existing mortgage of a client or prospective client is significantly higher than the current interest rates.
Sales Boomerang script alerts analyze not only whether a consumer could benefit from a particular type of loan, but also whether the consumer has the credit to apply for financing. This extra level of intelligence makes script notifications one of the highest conversions available to mortgage lenders today. The frequency of each alert during the first quarter of 2022 was as follows:
* Redemption notice: 5.25% of contacts monitored (decrease of 6.75% from the fourth quarter) A borrower is a creditor and has created sufficient equity to use the cash in his home.
* Interest rate and duration notice: 4.93% of contacts monitored (50.95% decrease from the fourth quarter) A borrower is a creditor and can take advantage of current interest rates for a refinancing.
* FHA MI Withdrawal Notice: 10.48% of contacts monitored (25.20% decrease from fourth quarter) An FHA borrower has exceeded 20% of equity and can deduct mortgage insurance (MI).
For a subset of lenders holding service portfolios, the frequency of risk and retention alerts was as follows:
* Risk and retention notice: 32.87% of contacts monitored (5.42% increase from the fourth quarter) A customer engages in one or more of 15 credit activities that may jeopardize their serviced loan
* Mortgage Research, EPO and New Listing alerts increased in the 1st quarter as consumers actively marketed their mortgage products. As the spring shopping season begins, lenders should be diligent in trying to retain their borrowers, especially those who want to avoid an early repayment penalty.
* Despite the rise in EPO alerts, Rate and Rate-and-Term alerts both fell in the first quarter, another indication that consumers want to buy rather than refinance. Of the alerts that decreased in frequency in the first quarter, the percentage and duration alerts showed the largest change, confirming the long-term expected slowdown in the refinancing boom.
* Slow is a relative term, however, as stock alerts increased for the second consecutive quarter. As homeowners continue to build stocks, lenders should continue to educate borrowers about equity mortgage opportunities.
* After a significant drop in Risk & Retention alerts in the 4th quarter, the category recorded a 5.42% increase in alerts in the 1st quarter. As more and more borrowers are exposed to risky credit behaviors, mortgage lenders should continue to monitor their portfolios closely for the risk of default.
* Credit Improvement alerts recorded one of the largest increases in the first quarter, signaling that more lenders are ready to start buying mortgages. Experienced lenders will recognize this opportunity to be proactive in their approach.
“Experts have been waiting for the market to go for a year or more, but the market has been slower to go than originally expected. “Our data confirm that market opportunities are ultimately moving in the direction of buying loans,” said Alex Kutsishin, CEO of Sales Boomerang. “However, as the market heats up, it will be important for lenders not to have a tunnel vision, as our data show increased opportunities in equity lending as well.”
* Basic findings and analyzes are provided for informational purposes only. The data presented in the report Mortgage purchase opportunities are historical. Past performance is not a reliable indicator of future results. Sales Boomerang assumes no responsibility or liability for the readers’ use of the key findings or analyzes contained in this report.
About Boomerang Sales:
Sales Boomerang transformed the relationship between mortgage lenders and borrowers with the introduction of the first automated borrower intelligence system in 2017. The company’s smart alerts alert lenders as soon as a previous customer or candidate is ready and willing to pay. As the No. 1 mortgage lending tool in the mortgage industry, Sales Boomerang is trusted by more than 170 lenders – including realtors, independent mortgage companies, credit unions and banks – to help build long-term lending relationships. throughout their lives. To date, Sales Boomerang alerts have enabled lenders to close more than $ 150 billion in additional loan volume that would otherwise have been overlooked and achieve customer retention rates that exceed industry standards by an average of 3-5 times. To learn more about Sales Boomerang and the ethos of No Borrower Left Behind., Visit https://www.salesboomerang.com.
NEWS SOURCE: Sales Boomerang
This press release was issued on behalf of the Sales Boomerang, which is solely responsible for its accuracy, by Send2Press® Newswire. The information is believed to be accurate but not guaranteed. History ID: 80906 APDF-R8.5
© 2022 Send2Press®, a NEOTROPE® press release and e-marketing service, California, USA.
To see the original version, visit: https://www.send2press.com/wire/sales-boomerang-releases-q1-2022-mortgage-market-opportunities-report/
Disclaimer: This content of the press release was not created by the Associated Press (AP).