NMP - December 2016 - 22
N A M B
DECEMBER 2016 n National Mortgage Professional Magazine n
P E R S P E C T I V E
coordinate with the Treasury Department and House and Senate Chairs
to correct the major problems within the CFPB construct. As you may
recall from the PHH case, one of the defects with the CFPB is that the
Director was the most powerful of any other agency ever created. The
court fixed that problem by permitting the President to remove the
Director without cause. This is on appeal to the full Appellate court and
then perhaps on to the Supreme Court. The appeal is likely to be pulled
back by President-Elect Trump. We will see a correction of this flaw
through Congress via legislation.
Within 12 months, a new Director is likely to be running CFPB. NAMB
predicts the new Director will slow all new regulations and start having
staff focus on helping industry understand the regulations that are
currently on the books. This could be in the form of No-Action letters
similar to the IRS and other agencies. During the next two years, look for
legislation creating a board configuration with a budget under
Congressional control and perhaps placing the CFPB under the Treasury
Department. A legislative requirement to have a cost benefit analysis will
be required. This will certainly be a huge factor in decreasing the cost of
originating a loan that has nearly doubled to more than $7,000.
Another area that we may see a big fight is with Fannie Mae and
Freddie and GSE reform. There are powerful and competing forces in
what to do with these entities; Realtors, Homebuilders, lenders and
mortgage brokers, consumer advocates and Wall Street. The big counter
balance would be the legislators wanting to reduce risk to taxpayer
bailouts. Finding the right balance between these interests will be
extremely difficult. We predict the start of a debate but likely not able to
complete legislation within the next Administration.
Lastly, I would like to touch on Transitional Licensing, which is
probably one of the hardest fights in our industry. On one hand, we all
would like to on-board new loan originators as fast as possible. On the
other, we at NAMB took the position that the consumer and our industry
would be better served if all mortgage originators complete all licensing
requirements before they operate in any state. This goes for loan
originators operating state to state as well. The Transitional Licensing Bill
that permitted a bank employee to shift to a lender and originate loans
for 120 days stalled in the Senate after passing the House this year. The
biggest concern that surfaced with Registered bank employees was the
trend for banks to over-Register branch employees just in case they took
a mortgage application. Our analysis on just a few banks showed that a
large percentage of the Registered loan originators at a bank had never
actually closed a loan. NAMB feels it would harm the mortgage broker
profession if we did not try and stop this result.
Overall, we see good things for mortgage industry in terms of
regulatory burden. It is a year to see change. We hope you are all NAMB
members and can participate in the upcoming 2017 NAMB Legislative
Conference in Washington, D.C., we are going to need your help. The
dates for this event are April 23-25, 2017. You should be seeing the link
to register for this event shortly. Please plan to attend. There is power in
numbers and your voice makes a difference. We need you on Lobby Day
to talk to your elected officials.
Michelle Velez, CMC of Supreme Lending in San Mateo,
Calif. is a member of the NAMB board of directors. She
may be reached by phone at (650) 409-5347 or e-mail
2017: A Year for Change
By Mike Anderson, CRMS
There is no question that 2017 could be the greatest opportunity in
NAMB's 40-plus year history on getting some regulatory and rule
changes to help our industry. We are extremely excited about the
possibilities that lie ahead.
Your Government Affairs team is working tirelessly on putting together
an aggressive agenda for much needed change.
That's where NAMBPAC steps in to make sure we have ample PAC
funds to get our voices heard on the hill. It is so vitally important that we
all contribute to the PAC, remember you must be a member of NAMB to
do so. By now you should have received a letter outlining the amount of
PAC we need to raise to accomplish our goals. Please take two minutes
and donate today so that we may move forward and help you in your
everyday endeavors on fulfilling the dream of homeownership.
Mike Anderson, CRMS is 2016/2017 NAMBPAC/LAF
Chair and a member of the NAMB board of directors. He
may be reached by phone at (225) 293-6855 or e-mail
NAMB East: Atlanta in 2017
By Linda McCoy, CRMS
Now the holidays are almost completely over and we as originators are
looking to see how we can increase our business for the coming year.
We are trying to see where we need to invest our money to get the most
bang for our bucks. I hope you are putting NAMB in your 2017 Budget
and Business Plan. Spend your money on something fun and exciting
that will help you build your business at the same time.
NAMB EAST is set for March 16-18, 2017 in Atlanta at the Omni
Atlanta Hotel in the CNN Center in Atlanta. NAMB will play host to one of
the largest mortgage industry trade shows in the eastern United States!
If you have never been to a trade show, this would be a great place to
start. We have so many great lenders and vendors who will be spending
their time there to help educate you on their programs and products to
help you be more successful.
Our Conference gets off to a real exciting opening evening at the
College Football Hall of Fame. You will have the opportunity to tour the
facility and see all there is to know about your favorite teams. We will
have a great time with delicious food, drinks and powerful networking
with mortgage professionals from all over the country. You can have fun
playing your favorite casino games while helping to raise money for our
Legislation Action Fund. This event alone is worth the trip.
Friday morning, we will have Delegate Council. If you are from a state
that no longer has an association and you would like to get involved,
please contact me or any board member. We would love to have you
participate. At lunch, we will have John King, CNN's chief national
correspondent and anchor of Inside Politics as our keynote speaker. This
reporter has covered the Whitehouse for years and I know he will keep
us on the edge of our seats.
Our most treasured part of the Conference is when our 2017 NAMB
East Exhibit Hall opens from 1:00 p.m.-6:00 p.m. This is where you find
who you want to do business with that will help get you to the next level.
You will spend your time networking with the professionals of our
industry and making friends. As we close the Hall for the evening we
open our St Patrick's Day Party, sponsored by Caliber Home Loans,
featuring the Trans Am Euro Mutts Band. You better wear green or will
get pinched! This band will keep us going most of the night and I hear
there just might be green beer.
Saturday will be packed with NAMB committee meetings and
originator-focused breakout sessions.
In addition, as part of NAMB East, we are excited to have the CFPB
Ombudsman's Office as part of their "Ombudsman Interactive," a series
of three sessions targeted at senior level executives, small business
owners and loan originators.
You can attend as many as you would like before the Exhibit Hall Opens
again at 1:00 p.m. and continues right up to the Trade Show giveaways at
5:00 p.m. Sign up now for NAMB East. It is going to be a blast!
Linda McCoy, CRMS of Mortgage Team 1 Inc. in Mobile,
Ala. is a member of the NAMB board of directors. She
may be reached by phone at (251) 650-0805 or e-mail