SUCCESS STORIES
Client success stories with the HomeLend Platform.
New Fund launching a Mortgage Conduit in 3 Weeks
The Context
Experienced founder with committed capital from large capital sources planning to build a mortgage purchasing conduit with millions in upfront costs and a large team. Their goal is to become a large mortgage flow and bulk investor focused on non-QM.
The Solution
The HomeLend Direct platform serves as the complete infrastructure for the new investment business. The setup of the investor unique investment programs and workflows, as well as onboarding of initial network of sellers, took about 3 weeks.
Results
- Millions of dollars in monthly volume
- Happy sellers
- No upfront investment or fixed costs; no headcount increase required.
Hedge Fund Expanding From Bulk Only to Flow
The Context
A prominent mortgage loan securitization platform relies solely on auctioned loan pools for sourcing. The investor seeks to purchase mortgage loans on a flow basis to reduce acquisition costs, have greater ability to define its loan purchasing strategy and expand market reach.
The Solution
Investor launched a flow investment program with HomeLend Direct within weeks. The shift to flow, as well as HomeLend’s ability to facilitate a smarter and more customizable credit box, significantly enhance the investor’s offering to sellers and its rate sheet sophistication.
Results
- Monthly UPB funding in the millions
- Expanded network of lenders
- Lower loan acquisition costs
- No fixed costs or incremental overhead
Retail Lender finding New Liquidity outlets & Subsequently Building a Correspondent Network
The Context
- Large national originator finds itself dependent on a single investor for its 2nd lien mortgage program.
- Originator seeks additional liquidity avenues.
The Solution
- Lender onboards to HomeLend Direct and is presented with several viable investors.
- HomeLend assists lender with guidelines and documentation for the setup of its correspondent business and facilitates access to new sellers.
- Lender seeks to build a correspondent network to expand its business beyond retail.
Results
- Approximately 700 loans sold in 6 months.
- Improved optionality and margins for the lender.
- Growth avenue through the development of a correspondent network opened.
- No investment or incremental overhead.
A large Bank establishing a Mortgage Advisory / Trading Business
The Context
- A major Midwest banking institution has been advising and facilitating mortgage trades between its network of community banks and credit unions.
- The bank seeks to grow this trading platform into a scalable business.
The Solution
- HomeLend Direct solution is adopted and enhanced to facilitate a full trading and advisory environment.
- Sellers and buyers onboard onto the HomeLend platform.
- The bank manages loan trading activity with a variety of added capabilities via the HomeLend platform as an Investment Manager.
Results
- Multiple and diverse trades have been taking place.
- The bank is investing in marketing and operational infrastructure to scale the business.
- No investment or incremental overhead.
Money Manager Rebuilding and Upgrading its Correspondent Network
The Context
- The mortgage origination and investment arm of a large money manager seeks to upgrade and expand its home-built acquisition platform.
The Solution
- Investor transitions all delegated and non-delegated business to HomeLend Direct.
- HomeLend facilitates the integration, automation and enhancement of all product rate sheets.
- HomeLend provides connectivity to the investor’s existing system of record and reporting infrastructure.
Results
- Transition completed within weeks.
- Existing sellers trained and enthusiastic about the improved capabilities and user experience.
- A broad array of lenders introduced to the investor via the HomeLend platform.
- Investor is set to reach near term volume not previously achievable.
Hedge Fund Seeking to Purchase Large Bulk Pools without Internal Infrastructure
The Context
- A $35B hedge fund enters the mortgage industry as an Investor.
- Initial foray into the mortgage space is through acquisition of seasoned whole loan pools.
- The fund has no direct purchasing infrastructure.
The Solution
- HomeLend provides comprehensive management of loan pool purchases, including diligence review coordination, imaging, synchronization of AVM data, servicing transfer.
- HomeLend provides continuous operational and advisory support.
Results
- Investor was prepared to process their first loan pool days after its bid was accepted.
- Several large pools were successfully funded in the first 6 months.
- The Hedge Fund has initiated discussions with HomeLend regarding additional mortgage acquisition modalities.
- No investment, no fixed costs and no headcount additions for the fund.
