Mortgage lending is a data-intensive endeavor, and the traditional loan process is time-consuming and bogged down in manual paperwork. But technology is streamlining and speeding the process for originators and their clients, as well as producing more accurate underwriting to reduce risk (and wasted time) for lenders and brokers. Meanwhile, the coronavirus pandemic has accelerated the adoption of digital products among consumers, and they expect less friction in their transactions.
In January 2021, SitusAMC announced the acquisition of ReadyPrice, a mortgage technology firm that seamlessly connects mortgage loan originators (MLOs) and lenders to facilitate more efficient loan originations. ReadyPrice founder Rick Soukoulis, who will continue to lead operations for SitusAMC, discusses the impact of technology on residential mortgage originations, and the implications for lenders, loan originators and consumers.
When clients engage ReadyPrice, what are the largest business challenges they are trying to solve?
Wholesale lenders want to maintain a steady flow of loans in their pipelines and scale their businesses, while originators need to quickly identify the best available products for their borrowers’ needs. Our automated platform connects lenders with a community of MLOs who are reviewing products and prices daily to find the right opportunities for their clients. Brokers leverage our powerful pricing engine at no cost to identify the best rates for their customers and automate the underwriting process. MLOs can use their Fannie Mae DO credentials to get a purchase approval decision instantly, along with the subset items required for their borrowers to meet the criteria. These findings are automatically transferred from the ReadyPrice portal to the lender, and the MLO can submit the approved loan directly to the lender with the click of a button.
We are seeing swift adoption, particularly by MLOs who are digital natives. They’re eager to embrace tools that automate and distill dozens of lender rate sheets and policies, and provide a faster, more satisfying experience for their customers. ReadyPrice technologies support FNMA, FRE, FHA, VA, USDA, VA, and non-agency (non-QM, jumbo, etc.) loan originations.
How does ReadyPrice benefit consumers?
Our platform simplifies and speeds the process of finding the right loan at the right price. Every borrower is different. One may be with the same employer for 20 years and have a credit score of 800, and another might be in their job for eight months and have a credit score of 500. But there are lenders for every category of borrower. An MLO can run a ReadyPrice query and our technology will make a match based on 50 different variables, providing a response in seconds.
How would you describe the shared strategic vision between the two companies that led to the acquisition?
SitusAMC and ReadyPrice are both developing technologies to transform the residential mortgage industry across the life cycle of the loan. ReadyPrice focuses on the front end, from origination through closing and sale to a lender. SitusAMC has traditionally targeted post-close automation and the secondary market, offering software to improve underwriting, originations, compliance, accounting, loan conduit management, data extraction, document classification and management, and systems of record for the custodial and warehouse space. Moreover, ReadyPrice will complement SitusAMC’s recent expansion into residential loan origination support.
Together, ReadyPrice and SitusAMC cover the life cycle of mortgage lending, and we see an opportunity to accelerate connections between the primary and secondary market, with the ability for counterparties to seamlessly exchange mortgage data. In addition, ReadyPrice will be able to move at a much more rapid pace to deploy our technology. We see an opportunity to augment and improve our offering by integrating SitusAMC’s tools, such as document recognition capability and warehouse automation. This will help us to quickly expand the network of market participants on our platform.
To learn more about ReadyPrice, visit the website.