DS News

60 Valuation Models, "instant" title searches, automated underwriting technology, eClosings and eNotes. With the economic crash, and the subsequent hyper - litigious and intensely regulated environment the industry shut down or suspended these initiatives. While we can argue that these initiatives may have been fraught with other problems, it was clear that most innovation or attempts at moving the mortgage and closing process into a faster, easier and more innovative model were stifled. We collectively implemented a "back to basics" approach and we collectively reverted to processes and business models from the early 2000's. With this background we are forecasting that next year will bring a slow and cautious march back into the future. A future where we begin again to effectively utilize technology and innovative business models to create an experience focused upon the borrower of the future. e millennial generation will most certainly not be tolerant of the current process with the slow, over-documented, over-disclosed and under-innovated approach to moving the borrower from application to closing. While we don't anticipate any break-thru models to appear next year, we should certainly be on the lookout for outsiders with less skin in the game, less exposure to regulatory risk and shorter memories to emerge in the coming years to try and force innovation into our world. COVER FEATURE RESIDENTIAL APPRAISALS TOM HURST President, StreetLinks Lender Solutions In the appraisal industry, 2016 will shine a light on new ways to surpass client expectations and create a more cohesive experience throughout the mortgage process. While quality will continue to remain paramount, we strongly believe that performance will play a larger role in defining success. We also expect that the borrower experience will be redefined throughout the appraisal component of the mortgage loan cycle. Although the actual appraisal transaction will continue to occur solely between the lender and the appraisal management company, the borrower experience has become much more important. For example, borrowers expect more responsiveness and scheduling flexibility. A focus on an improved borrower experience is something that AMCs should welcome and encourage. Further, we expect that appraisal providers will begin to leverage technology in new ways to create a customized appraisal experience for each borrower. Creating a seamless, comprehensive and positive experience that keeps all key players in mind will soon be status quo for all vendor partners in the mortgage industry. We also believe that the upcoming year will continue to prove that the demographics of the appraisal industry, and subsequent origination industries, are changing at a rapid pace. e demand for licensed appraisers with knowledge of the local market is higher than ever. is high-intensity structure is not sustainable, and a shift will soon have to take place in the appraiser industry to meet demand across the nation. e collective industry will have to find creative new ways to engage and leverage their current appraiser panels, with a deliberate effort to attract new talent. A key question facing our industry is how to inspire a new generation of potential appraisers. How can we be more attractive to encourage Gen Xers and Millennials to continue to enter the appraisal space? COVER FEATURE PROPERTY PRESERVATION RANDY CECIL President, Truly Noble Services Now 7 years since the last waive of the Mortgage Financial Crisis everyone is concerned and asking "could this happen again"? How will the companies performing property preservation and REO rehab work make it through? e key word is "adapt." We have to learn to adapt to an industry that for the most part our property services companies have little control over. If the mortgage lenders and GSE's continue to sell off their delinquent loans and approve more short sales, loan modifications, and refinances, we have to learn to ride the waves while looking for new avenues for our line of business. True to Darwin's theory, property service companies who have traditionally focused on just REO should be quick in bringing flexibility into their operations model. Technology must continue to be the key factor that will help smaller and regional vendors better match human capital with automation and management of processes. Our decision making process must focus on the need to do more with less. Long term strategists are telling us that utilizing the latest technology solutions is perhaps the easiest way to cut costs by leveraging less manpower and becoming more efficient. Quality vs quantity is a key phrase in trying to sustain market share. What does it mean to this industry? e next 5 years could likely find us all getting into the inspection, valuations, property management, insurance restoration markets, and certainly back into the retail side. e landscape for property services companies for REO is ever changing. ose who refuse to adapt and grow will be left behind. It can represent a frightening time or be seen for what it is: an opportunity to fine tune our services to better serve our customers. e choice is ours. COVER FEATURE Cover Feature: 30 Top Executives Tell You The Future Cover Feature: 30 Top Executives Tell You The Future Cover Feature: 30 Top Executives Tell You The Future EXPERT OPINION True to Darwin's theory, Property Service Companies who have traditionally focused on just REO should be quick in bringing flexibility into their operations model. –RANDY CECIL

• Cover