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MortgagePoint » Your Trusted Source for Mortgage Banking and Servicing News 32 May 2024 F E A T U R E S T O R Y promote equality, build a broader system of sustainable American homeowner- ship, and leverage the benefits of diverse teams and viewpoints, as aided by groups such as the AMDC. Fannie Mae's recent work on these fronts has included implementing tools such as using text-scanning software to identify prohibited and subjective lan- guage in the appraisal space and utilizing technology to improve underwriting. "While we're continuing to identify and expand upon how we can leverage technology in a safe and sound manner— we've already seen the benefits," Anderson said. "From September 2021 through March 2024, approximately 6,300 appli- cations have benefitted from positive rent payment history (PRPH)—meaning they were Approve-Eligible when otherwise they might not have been. Of the mortgage applications that benefitted from PRPH, some 51.3% of the borrowers identified as minority and 40.6% identified specifically as Black or Latino/Hispanic." D&I actions must be "supported and guided" by a wide range of data and analytics, according to Anderson. This data influences a strategic course of action and attempts to reduce prejudice. She expressed that it also contributes to a better understanding of the impact of those efforts, both in terms of progress and opportunity. Erika Garcia, COO of Precedent Management and member of the AMDC, emphasized the importance of maintaining a strong commitment to DEI, especially during economic un- certainty. She highlighted the industry's need to foster inclusive cultures where diverse perspectives are valued and re- spected. Further, she acknowledged the progress made in including women and people from ethnic cultures in leadership positions but recognized the need for further change. "Commitment to Diversity, Equity, and Inclusion remains crucial, espe- cially in the light of recent challenges or cutbacks against the tougher power organizations that may face constraints or setbacks," Garcia said. "The impor- tance of fostering diversity and inclusive environments remains a fundamental aspect of building equitable workplaces and societies." Maintaining a strong dedication to DEI might sometimes be challenging, but Garcia and other experts told Mort- gagePoint it is essential for the full success and growth of many organizations. Among other aspects, addressing system- ic disparities, encouraging diversity and leadership, and cultivating an inclusive culture can help drive innovation, attract and retain talent, and build organization- al resilience and sustainability. "The landscape of DEI has under- gone significant changes in recent years, with ongoing shifts continuing to shape the way organizations approach and pri- oritize these efforts," Garcia said. "Some notable changes and ongoing trends include ... increased awareness and scru- tiny, legislative and regulatory changes, intersectionality, and focus on inclusive culture." She encouraged professionals in leadership roles or working within the DEI/D&I space to "step up and be the change." "Intersectionality" is defined by Ox- ford Languages as "the interconnected na- ture of social categorizations such as race, class, and gender as they apply to a given individual or group, regarded as creating overlapping and interdependent systems of discrimination or disadvantage." Garcia added that because underrep- resented communities may experience injustices and problems in the work- place, potential biases may arise that manifest in processes and daily interac- tions—resulting in fewer opportunities, support, and resources to help individu- als succeed. Fannie Mae's Anderson told Mort- gagePoint that "D&I needs to be integrat- ed into all company processes." Fannie Mae has a history of recogni- tion for its diversity and inclusion efforts, being named a "Best Place to Work for Disability Inclusion" by the American Association of People with Disabilities last year, receiving a top score on the 2023 Disability Equality Index. Anderson continued, "Broadly de- fined, diversity refers to all the character- istics that make individuals different— the invisible and visible. Inclusion refers to our work to welcome and embrace diversity and leverage that diversity to improve business outcomes." The landscape of DEI has undergone significant changes in recent years, with ongoing shifts continuing to shape the way organizations approach and prioritize these efforts." —Erika Garcia, COO. Precedent Management; AMDC Member