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104 FLORIDA The Real-World Impact of AI Black Knight, Inc., a provider of integrated software, data, and analytics to the mortgage and real estate industries, announced the completion of an independent analysis of the real-world impact of the company's artificial intelligence (AI) solution, AIVA. Using actual findings from the operations of a top 50 lender in Q 4 2018, MarketWise Advisors, LLC—a management consulting firm focused on technology in the financial services industry—found that using AIVA can significantly drive down the cost of mortgage originations. e study identified a savings of up to $437 per originated loan, with the cost impact continuing to grow significantly as AIVA's machine learning and unique pattern recogni- tion capabilities mature to include more skills. "rough the independent analysis of an unbiased third party, we have been able to show that lenders can expect to see significant savings by incorporating AIVA into their origination process," said Anthony Jabbour, CEO, Black Knight. "Leveraging AIVA results in significant cost savings, provides the ability to redirect tens of thousands of man hours to items more focused on satisfying cus- tomers and produces a return on investment nearing 500%." MarketWise's approach included reviewing existing processes, as well as a time-and-mo- tion study and on-site lender employee inter- views to evaluate the time and cost reductions associated with leveraging AIVA in key areas of the origination process. MarketWise also evaluated AIVA's income, asset, insurance, and file intake review skills and found that the associated process improvements decreased the cost of origination by up to $437 per loan, with an average annual projected financial impact of $3.13 million for the top 50 lender in the study, but the results will vary for each lender. In addition to the direct cost savings, the study found that AIVA also produces significant indirect impacts, including reduced error rates and increased loan quality, consistency, and compliance. e projected average annual return on investment was 483% for this lender, meaning that for every dollar invested in the technology, the expected financial impact is a return of $4.83, a figure that will exponentially increase as AIVA's skills evolve to incorporate more complex tasks. "At Black Knight, we remain focused on bringing innovative solutions to market that help our clients increase revenue, efficiency and compliance," Jabbour said. "AIVA checks all of these boxes. AI and machine learn- ing represent a transformational shift for the mortgage industry, and Black Knight is proud to be leading the charge." Rushmore Acquires FirstBank's Correspon- dent Platform Rushmore Loan Management Services, LLC, a residential mortgage servicer, an- nounced that it has signed an Asset Purchase Agreement to acquire the correspondent lending channel of FirstBank, a Florida-based correspondent platform, and accompanying proprietary Fusion lending technology. "We are thrilled about this transac- tion," said Terry Smith, CEO of Rushmore. "FirstBank has developed an outstanding correspondent lending business under Bill Scammell's leadership, and we are very excited to welcome him and his team to our organiza- tion. In addition to expanding the universe of loan servicing offerings that we are able to provide to our customers, we expect that it will also increase our visibility into the broader mortgage lending space—enabling us to gain valuable market insights that can be leveraged across many different facets of our business." "We are very excited to join the Rushmore platform, build this business to a larger scale, and take advantage of new opportunities such as having a strong appetite for govern- ment loans," said Bill Scammell, FirstBank's Director of Correspondent Lending. "ese are highly complementary businesses, and we fully expect that joining Rushmore will enable us to accelerate the growth of both Rushmore's core servicing platform and the correspondent channel." e acquisition is targeted to close in the third quarter of 2019. DISTRICT OF COLUMBIA A System Update for Freddie Mac Black Knight Inc. has announced new enhancements to its MSP servicing system in support of Freddie Mac's new Investor Re- porting Change Initiative (IRCI). e IRCI, required for Freddie Mac mortgage sellers/ser- vicers, was implemented in May 2019 to help bring Freddie Mac's single-family investor reporting requirements closer to an industry standard and update its remittance cycles. Black Knight said that these changes were designed to streamline the reporting process, improve operational efficiencies, and provide Freddie Mac mortgage sellers/servicers with a more complete view of investor reporting data. "e Freddie Mac team extends our thanks and appreciation to Black Knight for the collaboration, dedication, and hard work put forth by everyone on the IRCI initiative," said John Felix, Loan Servicing Director, Freddie Mac. "By enhancing the MSP servic- ing system to support the IRCI, Black Knight is helping its servicer clients see the benefit of increased efficiencies that come with stream- lining the investor reporting process. is was truly a team effort, and we look forward to our continued partnership." To meet the new investor requirements, some of the primary system changes included converting the reporting cycle; changing to a single remittance type; introducing daily Loan Level Reporting (LLR); modifying the reporting of interest on the LLR to a fore- casted interest model; changing the remittance method for principal and interest and payoffs; determining mortgage status and delinquency based on the Due Date of the Last Paid Installment (DDLPI) reported by Investor Reporting; and introducing a new partial reinstatement process. Outside of investor re- porting, IRCI changes have impacted all areas of servicing, requiring a review of business processes beyond technology remediation. "We were honored to take a leadership role in collaborating with Freddie Mac and all of our impacted clients to help ensure the success of this vital MSP enhancement," said Joe Nackashi, President, Black Knight. "Black Knight is proud to support the IRCI and help create a simpler, more flexible investor report- ing process that will benefit our clients with Florida Minority Certified Business MIAMI-DADE & BROWARD COUNTIES 786-499-6994 www.REOPitStop.com Luis@ContinentalRealtors.com RESNET ID: 106089 | Equator ID: 272261 Luis F. Guzman Broker/Owner

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