Company News

Important: All loans with DU 9.0 findings must be submitted to CMS Underwriting no later than December 1, 2013

• Fannie Mae's Desktop Underwriter was updated to 9.1, not allowing LTVs > 95%
• This update excludes DU Refi Plus and HomePath
• DU findings ran under Version 9.0 that have expired require a new DU using 9.1
• All Loans submitted using Version 9.0 with LTV>95% must be manually locked

As other lenders exit the business, Carrington increases its commitment to wholesale lending with an expanded geographic reach, wide array of products and faster processing times

NOVEMBER 21, 2013 – SANTA ANA, CA – The Wholesale Lending Division of Carrington Mortgage Services, LLC (Carrington) today announced that it has expanded its coverage in the Southeast, adding an operations center in Jacksonville, Florida. This latest addition reflects the company’s ongoing commitment to extending its reach and growing its wholesale business into 2014, even as other lenders are exiting the new purchase-centric market. Focused on extending the borrowing potential of consumers through conventional and government loan products, Carrington is committed to providing what consumers, real estate professionals and brokers rely on: a wide breadth of product, reduced turn times and exceptional service.
The new office, which opened for business on November 18th, is led by Divisional Sales Manager Richard Dybel and Director of Operations Jawana Thomas – both formerly with EverBank Financial Corp., which recently exited wholesale lending. Dybel and Thomas each come to Carrington with more than 20 years of experience in mortgage lending management.
“We’re pleased to open our fourth wholesale operations center, and to welcome industry veterans Richard Dybel and Jawana Thomas to the Carrington family,” said Ray Brousseau, Executive Vice President of Carrington Mortgage Services, LLC’s Mortgage Lending Division. “By increasing our Southeastern sales and service footprint under their capable management, we’re taking yet another step toward helping our broker partners grow their businesses, their agents close more loans, and the borrowers they work with get into the homes they want.”
Carrington’s range of offerings includes traditional loans and government products including FHA, VA and USDA purchase loans, as well as FHA Streamlines and 203k products for borrowers looking to refinance their mortgages. Earlier this year, the company expanded its credit requirements on all government products, reducing the minimum FICO score to 580 to make qualifying for loans easier on the borrower. To further extend lending opportunities among consumers, Carrington also modified its guidelines to include manufactured houses as eligible properties for FHA and VA loan programs, omit overlays for FHA first time home buyer loans, and add non-traditional credit guidelines for FHA borrowers with limited or insufficient credit.
About Carrington Mortgage Services - Mortgage Lending Division
Carrington Mortgage Services, LLC (Carrington) is a residential wholesale and retail loan origination subsidiary of Carrington Mortgage Holdings, LLC. The company is licensed to originate loans in 42 states, the District of Columbia and Puerto Rico, with an experienced team focused on producing high quality loans and error-free transactions. Carrington’s lending products include FHA, conventional, jumbo, VA and USDA loans. Carrington’s advanced technology platform and high-touch customer service provide superior loan origination experiences for retail and wholesale customers alike. Founded in 2007, Carrington is based in Santa Ana, California and is an equal housing opportunity lender. To learn more about Carrington’s wholesale lending division, visit www.CarringtonWholesale.com.

All Conventional loans funded on and after Thursday, November 1, 2013, must include Tax Transcripts and SSN.  Note, that this includes loans that have funded into the month

New program enables banks and credit unions to offer their customers a wider range of lending options while simultaneously mitigating risk 

OCTOBER 30, 2013 – SANTA ANA, CA – The Wholesale Lending Division of Carrington Mortgage Services, LLC (Carrington) today announced that it has expanded its offering to include banks and credit unions as approved third party originators. Effective immediately, approved banks and credit unions can partner with Carrington to provide their customers with access to a wide portfolio of loan programs designed to extend the borrowing potential of consumers. The new program also serves as a risk mitigation method for these financial institutions by allowing them to act as third party originators rather than as lenders on both conventional and government loan products.
“This is yet another step in Carrington’s plan to aggressively expand its reach in the changing market and help more people get into the homes they want,” said Ray Brousseau, Executive Vice President of Carrington Mortgage Services, LLC’s Mortgage Lending Division. “Now more consumers can access Carrington’s extensive lending and servicing capabilities through their neighborhood banks and credit unions. We believe that these institutions will grow to appreciate what makes Carrington an ideal wholesale lending partner for third party originators – breadth of product, competitive pricing and unmatched commitment to help our partners succeed.”
Among the benefits differentiating Carrington from other wholesale lenders is its expedited processing times made possible through the company’s Purchase Promise Program. Carrington’s 21-day loan closing program announced in June was designed to significantly reduce closing times compared to industry averages and applies to both FHA and conventional purchase loans. Per the program’s guidelines, Carrington commits to process any qualifying loan from the time that a complete file is submitted to underwriting to the time that it funds within 21 days – depending on program eligibility – or the company will apply a $995 closing credit to the loan at the time of closing.
Carrington’s range of government products includes FHA, VA and USDA purchase loans, as well as FHA Streamlines and 203k products for borrowers looking to refinance their mortgages. Earlier this year, the company expanded its credit requirements on all government products, reducing the minimum FICO score to 580 to make qualifying for loans easier on the borrower. To further extend lending opportunities among consumers, Carrington also modified its guidelines to include manufactured houses as eligible properties for FHA and VA loan programs, omit overlays for FHA first time home buyer loans, and add non-traditional credit guidelines for FHA borrowers with limited or insufficient credit.
Organizations interested in becoming approved as third party originators of Carrington loans can contact a Carrington account executive at (866) 453-2400 or visit www.CarringtonWholesale.com/TPO for information concerning the application and approval process.

Everyone knows about mortgage lenders from their ads and websites, but what about their classrooms and courses? Do educational differences impact borrowers, loan officers and even other lenders?
"You bet," said Lori Grigg, executive vice president of human resources with Carrington Mortgage Holdings, LLC. "The lending system today is completely different from the system we had in place just a few years ago. There are now thousands of pages of new rules and regulations -- and more keep coming. In the same way that you want a doctor or lawyer with the best possible background, borrowers also want lending professionals who are well-trained and knowledgeable with regards to current regulations."
In fact, Carrington is investing in education. In a one-year period, Carrington professionals completed more than 12,000 compliance classes in their Learning Management System, which is named the Carrington Education Portal. According to Elearning! Magazine, the Carrington group of real estate and mortgage companies is a Learning!100 award winner, meaning it is among the top 100 organizations worldwide in terms of "learning culture, innovation or collaboration that drives performance." This is the third national education award won by Carrington.
The company's Education Portal is so advanced that in 2012 Carrington became the first mortgage company to win recognition during the prestigious SkillSoft Perspectives Awards. The Educational Portal delivers targeted courses and classes to individual associates. Carrington’s breadth of classes are kept up-to-date as standards change and are delivered to associates through the Education Portal.
Carrington Mortgage is one of 19 related residential real estate and mortgage companies that operate under the Carrington banner. This means that a full-time staff is available to maintain education systems under the direction of Alysia Vrolyk, the vice president of Learning and Development with Carrington Mortgage Holdings, LLC.
"We have an interactive educational system in place that responds to the needs of individual users," said Vrolyk. "We use email, surveys and performance prizes to maximize system activity.  We actually have 'L&D Gurus' on hand to answer questions and provide high-touch service and improve the user experience.”
Vrolyk continued, "Carrington Mortgage Services Mortgage Lending Division likes the Education Portal because it allows them to track the educational activities of their loan officers and use such data for compliance and annual performance reviews."
Better Lenders, More Loan Options
At first, it might seem as though professional training is far removed from loan applications and mortgage closings, but that's not the case.
"In any profession you can do the bare minimum to enter a field and maintain your license," said Grigg. "However, we think borrowers do better when working with loan professionals who have access to advanced training. The benefit shows up when a borrower can be qualified for financing within a new rule or standard that another lender might not understand. In effect, better training means loan officers, underwriters and others in the lending process can be more productive.”
"For instance, many individuals with good credit have been unable to re-enter the housing market because they ran into hard times and faced a foreclosure or short sale. Many loan programs exclude such borrowers from new financing for as long as seven years. Now, however, there's a new program introduced by HUD that can help qualified individuals, that experienced a foreclosure, short sale or bankruptcy, get a new mortgage in as little as 12 months. If you're a borrower you want to be sure your lender knows about such programs, is educated on the qualifications required for the borrower and can introduce them to you."
Gen Y and the Google Generation
So how does professional education work for lenders?
Carrington Mortgage Services is active in more than 40 states and each jurisdiction has its own way to license mortgage professionals; generally this means a set number of hours to first obtain a license and then additional training in the form of continuing education classes and seminars. The classes themselves can include traditional classroom instruction, webinars, online courses with an instructor and online self-study courses.
"A choice of classroom options and scheduling flexibility is very important in today's workplace," said Vrolyk. "It's all part of the social transition we are seeing with Gen Y (those born after 1980 and into the 1990s) and Generation C (people born after 1993, digital natives who are exceptionally tech-savvy). Individuals in these age groups tend to regard computer learning as natural and normal, something as common as email and Twitter. Our Education Portal provides “just-in-time” learning 24 hours a day. When our associates need information, it is easily accessible from anywhere there is internet access. Flexibility is important because it allows associates to mix work, personal time and educational needs in the way that best meets their schedules and interests."
Wall Street Reform
Under the Dodd-Frank Wall Street Reform Act, mortgage lenders must meet a large number of compliance standards, regulations designed to assure that borrowers have access to a wide range of financing options and that mortgage investors can buy loans from U.S. lenders that meet required benchmarks.
"Many of the new lending standards are overseen by the Consumer Financial Protection Bureau," said Grigg. "As part of its compliance system, the CFPB requires lenders to maintain extensive and ongoing educational programs. We're happy to do this because we think borrowers and investors will have more confidence in the mortgage origination as a result. With better training we can work to reduce investor risk while helping borrowers get the financing they want."
Contacts:     
Michelle Schneider
Office: (949) 517-7197
Mobile: (760) 419-2543
Michelle.Schneider@carringtonmh.com
Christine Stricker
Office: (949) 517-7313
Mobile: (714) 873-4275
Christine.Stricker@carringtonmh.com

As we continue monitoring the government shutdown and adapting our operations to the changing environment.  Carrington is now allowing 1099 and Self Employed Borrowers are eligible to close with alternate documentation in lieu of transcript verification.
Self Employed Borrowers require 2 years signed taxes

Recap of modifications and notices:

Conventional Loan Programs

Carrington Mortgage Services, Wholesale Lending Division, will fund Conventional loans, using alternate documentation, without a tax transcript (4506T).

FHA & VA

Carrington continues to fund FHA & VA loans using alternate documentation to meet 4506T requirements.

USDA

USDA loans may continue to be submitted, however, the loan will not fund without conditional approval issued by USDA. All submissions will have limited underwriting performed including initial disclosures and initial review.
Additional notices:
- Signed tax returns are required on all loans that require income to qualify.
- Jumbo loans are not eligible without a tax transcript at this time
Contact your Account Executive for more information.

Carrington Mortgage Services will be open on Columbus Day (10/14/2013); however, our lock desk will be closed.  Normal lock desk hours will resume on Tuesday, 10/15/2013.  All locks that expire on 10/14/2013, must be extended prior to expiration.  All issues related to locks should be sent via email to lockdesk@carringtonms.com.

Carrington is excited to introduce our new Pipeline Manager.
It's faster, easier, and more streamlined. More details coming soon. Be sure to attend for one of our online training sessions. Click the desired session below to register.

• Friday, November 1, 2013 at 10:30 AM (PDT)
• Monday, November 4, 2013 at 10:30 AM (PDT)
• Tuesday, November 5, 2013 at 10:30 AM (PDT)

Contact Carrington for more information.

Important information for our brokers.  Carrington Mortgage may be impacted by the potential  Government Shutdown on Tuesday, October 1st.  This action will create either a delay or unavailability of government services.
Immediate action may be needed for your files. We ask our brokers to immediately submit all  FHA/VA/USDA Case Number requests by the following LOCAL time for your assigned operations center:

• 4:30PM, Enfield, CT (ET)
• 4:30PM, Fishers, IN (ET)
• 3:00PM, Santa Ana, CA (PT)

Operations teams are working diligently to prepare files in the pipeline. If there is outstanding documentation required for your loan, please provide it immediately to your Account Manager.
In the event an extension to the government shutdown is provided, Carrington Mortgage will continue to require all FHA/VA/USDA Case Number requests by 3PM local time, the day prior to the potential shutdown.
Contact your Account Executive for more information.

Carrington Holding Company Honored by Elearning! Magazine for Its Learning Culture, Innovation and Organizational Performance

 Residential real estate transaction services provider named one of the top 100 learning organizations in the world

 SEPTEMBER 18, 2013 – SANTA ANA, CA – Carrington Holding Company, LLC (Carrington) today announced it has been honored by Elearning! Magazine as a Learning! 100 award winner. Nominated for the award by cloud-based learning solutions provider SkillSoft, Carrington joins an impressive list of organizations honored for their efforts to drive business performance through e-learning. Carrington was honored at the Learning! 100 awards dinner reception on August 26, 2013 at the Enterprise Learning! Conference & Expo (ELCE) in Anaheim, Calif.
(more…)