This article originally appeared on LinkedIn. You can read the original post here.
Mortgage rates are at an all-time low and refinance activity is booming across the United States. Although the coronavirus pandemic has adversely affected so many industries in our economy, housing has forged ahead. Title agency owners are feeling positive with a steady stream of new refinance orders.
However, today’s refinance activity won’t last forever. The 50 bp mortgage fee increase mandated by Fannie Mae and Freddie Mac is expected to take effect in December 2020 which may slow refinance volume.
Title agency owners can focus on 3 key areas of their operations to win new lender business: 1) offering a centralized communication portal within their closing software 2) differentiating themselves with excellent service 3) providing lender solution rates.
1. Offer a centralized communication portal
A centralized communication portal is a tool within the title agent’s workflow software that integrates directly with the lender’s software system. The portal allows title agents to exchange information with their lender partners without leaving their core software (and vice-versa).
There are many more bells and whistles that can elevate the communication portal. Qualia is one such example of a forward-thinking software provider that bridges the communication gap in the closing process. The ideal communication portal has a custom-designed experience for everyone involved in the transaction:
- All parties in the transaction can view the progress of their file in real-time from open to close. (This feature can elevate the closing experience. It helps manage expectations and automatically assigns to-do lists for each party.)
- Everyone has instant access to closing disclosures, final title insurance policies, and recorded documents.
Qualia provides all these features through Qualia Connect.
2. Deliver exceptional service with technology
It’s no longer good enough to simply meet client expectations. A title agency should identify baseline expectations anywhere in the lender relationship, and then exceed them. A title agency that wants to stand out from the competition may consider the following:
- Be appointed in multiple states for a one-stop solution.
- Offer preliminary title searches at a reduced cost.
- Provide quick closing experiences and expertise in various types of transactions such as remote online notarization, foreclosures, and 1031 exchanges.
- Electronically record deeds, deeds of trusts, and HELOCs.
- Actively provide lenders with lead data which I’ve discussed here.
- A fast, digital post-closing department. The title agent should provide the lender the final title insurance policy and closing package within 24 hours and deliver through their production software’s secure online portal.
3. Provide lender solution rates
Lender solution rates are special, discounted title insurance rates. They create a high-volume refinance order relationship between a lender and a title agency. These special rates are used for:
- Title agency owners to dramatically increase order counts and revenue.
- Lenders to provide closings at a reduced cost.
- Title agency operations that are equipped for an “assembly line of production” to maximize profitability within the low rate order environment.
North American Title Insurance offers the most attractive lender solution rates in the industry for title agency owners to win lender business.
Title agency owners can contact me at juthe@natic.com to continue the conversation on centralized communication portals, exceeding service benchmarks, or lender solution rates.