Optimal Blue LLC, provider of secondary marketing automation and services in the mortgage industry, recently announced the introduction of a comprehensive new Enterprise Secondary Marketing Solution for credit unions, the company said.
Credit unions that sell directly to Fannie Mae and Freddie Mac can now take advantage of this new offering that combines Optimal Blue's best-in-class secondary marketing automation, product eligibility and pricing engine, and note rate hedging, as well as the bespoke features needed to offer credit union members a more competitive product lineup.
Before joining Fulton, Scheuren served as senior vice president of Secondary Marketing
for Waterfield Bank.
The partnership marks the first time a vendor has coupled best efforts and mandatory functionality, and it allows mortgage bankers to maximize secondary marketing profitability through the use of sophisticated risk-management and operational tools, according to Larry Huff, co-founder and co-chief executive officer of Optimal Blue.
"When you can create multiple loan-level pricing strategies and integrate them with secondary marketing applications, mortgage bankers can significantly increase revenues--which is essential in today's market of compressing margins," he added.
"We selected ASC's PowerSeller to run best-executions reports automatically, reducing the time it takes to get the best price for mortgage-backed securities and maximizing our return on each loan," said Joseph Scheuren, Superior Mortgage's senior vice president of secondary marketing. "Since implementation, we are able to leverage PowerSeller's data-management capabilities to increase the basis points we can get per loan by approximately 15 to 20 points."
PowerSeller enables secondary marketing teams to manage risk more efficiently using fallout analysis, trade-management features and best-execution and delivery of pooling capabilities.
AUS and secondary marketing technologies are both core to the business of mortgage banking, but lenders have adopted each at significantly different rates.
Secondary marketing decision making is important to all lenders that sell loans or that deliver mortgage securities in the open market.
"I couldn't imagine going back to how I did business even four years ago," says Linda Marney, assistant vice president and secondary marketing
manager for First Union Mortgage Corp.
was an often-overlooked aspect of Norwest Mortgage, Inc.'s recent purchase of a good portion of Prudential Home Mortgage.
Using understandable language and logical examples, summaries of other areas of the secondary mortgage market are given, including: the sales aspect of secondary marketing
; lenders, investors and middlemen; private-issue mortgage-backed securities; and risk in the secondary mortgage market.