WASHINGTON, D.C. (September 28, 2020) — The level of commercial/multifamily mortgage debt outstanding rose by $43.6 billion (1.2 percent) in the second quarter of 2020, according to the Mortgage Bankers Association’s (MBA) latest Commercial/Multifamily Mortgage Debt Outstanding quarterly report.

Total commercial/multifamily debt outstanding rose to $3.76 trillion at the end of the second quarter. Multifamily mortgage debt alone increased $32.2 billion (2.0 percent) to $1.6 trillion from the first quarter of 2020.

“Despite a drop off in new commercial and multifamily mortgage originations in the second quarter, the total amount of mortgage debt outstanding continued to rise,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “The pandemic is having different impacts on various property types and capital sources. Loans backed by multifamily properties accounted for almost three-quarters of the total growth, and Fannie Mae, Freddie Mac, and FHA accounted for nearly three-quarters of that amount.”

The four largest investor groups are: banks and thrifts; federal agency and government sponsored enterprise (GSE) portfolios and mortgage backed securities (MBS); life insurance companies; and commercial mortgage backed securities (CMBS), collateralized debt obligation (CDO) and other asset backed securities (ABS) issues.

Commercial banks continue to hold the largest share (39 percent) of commercial/multifamily mortgages at $1.5 trillion. Agency and GSE portfolios and MBS are the second largest holders of commercial/multifamily mortgages (21 percent) at $775 billion. Life insurance companies hold $574 billion (15 percent), and CMBS, CDO and other ABS issues hold $518 billion (14 percent). Many life insurance companies, banks and the GSEs purchase and hold CMBS, CDO and other ABS issues. These loans appear in the report in the “CMBS, CDO and other ABS” category.

MBA’s analysis summarizes the holdings of loans or, if the loans are securitized, the form of the security. For example, many life insurance companies invest both in whole loans for which they hold the mortgage note (and which appear in this data under Life Insurance Companies) and in CMBS, CDOs and other ABS for which the security issuers and trustees hold the note (and which appear here under CMBS, CDO and other ABS issues).

MULTIFAMILY MORTGAGE DEBT OUTSTANDING

Looking solely at multifamily mortgages in the second quarter of 2020, agency and GSE portfolios and MBS hold the largest share of total multifamily debt outstanding at $775 billion (48 percent) , followed by banks and thrifts with $474 billion (30 percent), life insurance companies with $167 billion (10 percent), state and local government with $93 billion (6 percent), and CMBS, CDO and other ABS issues holding $53 billion (3 percent). Nonfarm non-corporate businesses hold $21 billion (1 percent).

CHANGES IN COMMERCIAL/MULTIFAMILY MORTGAGE DEBT OUTSTANDING

In the second quarter, agency and GSE portfolios and MBS saw the largest gains in dollar terms in their holdings of commercial/multifamily mortgage debt – an increase of $22.9 billion (3.1 percent). Commercial banks increased their holdings by $14.6 billion (1.0 percent), life insurance companies increased their holdings by $2.1 billion (0.4 percent), and CMBS, CDO, and other ABS issues increased their holdings by $1.7 billion (0.3 percent).

In percentage terms, agency and GSE portfolios and MBS saw the largest increase – 3.1 percent – in their holdings of commercial/multifamily mortgages. Conversely, REITs saw their holdings decrease 3.0 percent.

CHANGES IN MULTIFAMILY MORTGAGE DEBT OUTSTANDING

The $32.2 billion increase in multifamily mortgage debt outstanding from the first quarter of 2020 represents a 2.0 percent increase. In dollar terms, agency and GSE portfolios and MBS saw the largest gain – $22.9 billion (3.1 percent) – in their holdings of multifamily mortgage debt. Life insurance companies increased their holdings by $2.5 billion (1.5 percent), and state and local government increased by $1.4 billion (1.5 percent). REITs saw the largest decline in their holdings of multifamily mortgage debt, down $602 million (11.8 percent).

MBA’s analysis is based on data from the Federal Reserve Board’s Financial Accounts of the United States, the Federal Deposit Insurance Corporation’s Quarterly Banking Profile and data from Wells Fargo Securities. More information on this data series is contained in Appendix A.

MBA’s complete Commercial/Multifamily Mortgage Debt Outstanding report can be downloaded here: www.mba.org/documents/research/2Q20MortgageDebtOutstanding.pdf.

DETROIT, September 22, 2020 – Quicken Loans Mortgage Services (QLMS), the fastest growing mortgage lender serving brokers, community banks and credit unions, today announced a complete rebrand coming soon, and with it will come a massive step forward in the technologies and services it offers partners.

QLMS will become Rocket Pro TPO (TPO representing “third party origination”) within the next 60 days, to closer align with Rocket Mortgage – the brand that has become ubiquitous in the mortgage lending space. This move gives its partners the opportunity to leverage the equity of the strongest name in personal finance, while accessing an entirely new suite of industry-revolutionizing technologies.

“Through the thousands of conversations we have had with our partners, we know brokers want cutting edge technology, marketing support and more referrals. QLMS is now aligning with the Rocket brand – the most recognizable mortgage brand in the country – and giving partners the ability to use it in their marketing to assist more Americans,” said Austin Niemiec, Executive Vice President of the soon-to-be-named Rocket Pro TPO. “We have spent billions of dollars in the development and marketing of the Rocket platform which we are now delivering directly to brokers to leverage and grow their business.”

Partners will have access to exclusive and powerful Rocket technology. The lender is building an entirely new white-labeled, broker-branded origination hub which will provide seamless e-signature technology, unmatched visibility into loan status and the ability for applicants to directly upload loan documents.

Additionally, partners will have the ability to leverage the extremely well-known Rocket Mortgage name through co-branding, as well as tie into leads generated by its national and local advertising. By leaning on this, brokers can capitalize on the $5 billion Rocket Mortgage has spent on marketing since its inception – making it clear to their clients they have the power of Rocket with the expertise and local knowledge of a broker. These services will be available to all approved partners free-of-charge.

Rocket Pro TPO also partnered with Google to create and unveil PathFinder, which is the integration and reimagination of many of its most popular tools into one centralized location. It combines popular resources like Guru, a search engine for mortgage origination; and The Answer, an award-winning tech tool powered by Google search which provides solutions to all mortgage guideline questions, into a completely new technology to put the power of thousands of underwriters into every broker’s office.

Since every second counts for the broker community, Rocket Pro TPO added additional features to PathFinder which are solely focused on decreasing the amount of time partners spend searching for answers to various complexities throughout the mortgage process. This includes a BPMI calculator, Title Gadget – to help partners find all their title needs in mere seconds – and much more.

“Rocket Mortgage has truly set itself apart from the rest of the industry because we have taken an incredibly difficult and labor-intensive process and distilled it into a simple technology platform that allows clients – and now our partners – to have unmatched visibility and communication,” said Bob Walters, President and COO of Rocket Mortgage.  “As we continued to grow and evolve our business, we always looked forward to the day when we could extend its reach to our broker partners, who play such an important role in helping clients achieve the American Dream of homeownership.”

Rocket Pro TPO is celebrating this new chapter by doubling down on its commitment to its partners. To start, the company will be sharing an unprecedented 10,000 purchase leads with its network. This serves as an introduction to the value Rocket Pro TPO brings to the broker community, as well as the new ecosystem of lead share that will continue to develop over time.

In addition to increased access to marketing materials, a co-branded experience for borrowers and new technology, the lender is creating its exclusive Rocket Pro Referral network. This platform will connect partners to an entirely new network where they can build relationships, look for opportunities and obtain leads. This encourages consumer-facing influencers to submit a client’s information and send it to their preferred loan originator to complete the mortgage process. Through Rocket Pro Referral, real estate agents will be able to maintain visibility into their clients’ loans, and mortgage brokers will receive more ready-to-transact borrowers referred to them on a platform that streamlines the origination process.

“Technology is evolving, as is the way consumers shop for homes and get their financing. QLMS has a rich history of always blazing new trails. Moving forward as Rocket Pro TPO, we are excited to share our industry-leading brand and technology with partners. No other lender can offer this level of investment in innovation which continues to revolutionize home financing. We are excited to now put this powerful origination system, and all the supporting elements, squarely at the fingertips of our growing list of partners across the country,” Niemiec added.

Launched in 2010, QLMS has become a force in the broker community, adding new partners at an unprecedented rate with a streamlined on-boarding process that allows loan officers to begin originating mortgages with them in as few as 24 hours after application.

Now, Rocket Pro TPO’s growing network, which includes more than 40,000 loan officers, is driving record originations and revenue. In the second quarter of 2020, Rocket Mortgage’s Partner Channel, which includes Rocket Pro TPO, increased its annual revenue by more than 500%. In response to this record demand, the lender currently has 1,100 open positions for national account executives, underwriters and more.  To apply, visit www.myrocketcareer.com.

—The fully integrated monitoring solution leverages FraudGuard smart analytics and scoring to help underwriters and processors identify consumers with loans in forbearance—

SANTA ANA, Calif., Sept. 22, 2020 – First American Mortgage Solutions, LLC, a part of the First American family of companies and leading provider of lender and servicer solutions that cover the entire loan spectrum, today announced the launch of a new monitoring solution, Mortgage Forbearance Indicator (MFI). The MFI is a module available through FraudGuard^®, First American Mortgage Solutions’ data-driven decision-support tool with over 20 unique modules and integrated solutions that helps lenders comply with regulations, improve the speed and efficiency of underwriting reviews, and increase loan quality while mitigating against potential risk.

Lenders incur costs and lose time to verify and re-verify whether a borrower is engaged in forbearance activity. MFI monitors a consumer’s credit from application to closing to identify mortgage forbearance and alerts the processor and underwriter when new activity is found. Through FraudGuard, the MFI is fully compatible with, and an embedded service within, all major Loan Origination Systems (LOS). This integration and automation streamline the process to quickly uncover undisclosed forbearance requests, shortening underwriting timelines and helping lenders avoid potential agency fees or unsaleable loans.

“In this fluid environment, agency guidelines and lender overlays are everchanging and our industry experts help lenders respond and stay up-to-date with customized, targeted FraudGuard alerts,” said Paul W. Harris, head of First American’s mortgage analytics business. “Not only is our newest forbearance module flexible, configurable and scalable to unique business needs, but with FraudGuard as a whole, users experience concierge service from industry expert account managers who advise and provide support for full confidence against risk.”

While alternative solutions only offer a batch file request outside of the processor’s LOS, or limit order options to a one-time look up or credit refresh, the FraudGuard MFI provides integrated ordering by document type or business channel and continual monitoring, which allows better control of third-party data expenses.

“The Mortgage Forbearance Indicator reflects the commitment of our skilled team of experts to continually build solutions to meet the evolving business needs of our clients and the marketplace,” said Kevin Wall, president of First American Mortgage Solutions. “FraudGuard continues to stand-out among loan quality management tools.”

Learn more at https://www.firstam.com/mortgagesolutions/solutions/fraud-verification/fraudguard.html.