DS News

66 data's integrity. But as always the responsibility for compliance will rest squarely on the financial institution itself. Lenders don't have the luxury of waiting to prepare until they have their updated loan origination system (LOS) or HMDA reporting tool in hand. Delaying procedural adjustments for the expanded data requirements will mean that when the system modifications do become available, the internal methods to collect, inter- pret, retain and transfer that data will be well behind. ese lenders will be limited in taking advantage of their vendors' preparedness, and the integrity of their own data could be compro- mised when left untested in the rush to meet the compulsory deadline. e evolution of fair lending regulation ne- cessitates an evolution of the compliance process itself. A single department cannot prepare for these major changes in a siloed environment but must instead work hand in hand with all part- ners in the life cycle of a loan. Regulators today expect an institution-wide culture of compli- ance, believing that ultimately it will result in a better experience for the borrower from end to end. TITLE & SETTLEMENT LINDSAY CARRINGTON Partner, Bell Carrington & Price, LLC Title agents and settlement providers should expect and prepare for continual change in the industry in 2017, albeit not to the momentous change that the industry experienced in late 2015 and 2016. As with most things in business and life, change comes in forms both good and bad and opportunity lies in both. Consumer protection regulations continue to dominate headlines and the industry should prepare for increased scrutiny. Articles suggest the court ruling in PHH Corp. v. CFPB dealt a death blow to the CFPB's regulatory reach are overblown. Regulators will continue to bring actions against lenders, servicers and originators for perceived violations of consumer protection laws. e fallout of these regulatory actions will trickle down to the vendors with increased au- dits and documentation. e resulting increased costs borne by title agents and settlement pro- viders will produce consolidation of providers. Furthermore, regulatory actions should also lead lenders, servicers and originators to consolidate business with trusted vendors. e good news for title agents and settle- ment providers is that the housing market will continue a strong pace in 2017, fueled by low mortgage rates, the perceived safety of the US real estate market and the entry of Generation Y into peak home-buying years. Most experts now believe interest rates will stay low until infla- tion expectations rise, which may not happen in 2017. Too, continued global economic unrest will not likely wane next year. ese major fac- tors, and other minor ones, ensure next year will produce a solid housing market. ose in the industry that successfully navigate the increasing regulatory environ- ment will be rewarded in a strong 2017 market. Title agents and settlement providers that demonstrate scalability and consistency will see increased market share in a year with a strong housing market and where lenders, servicers and originators reduce vendor risk by consolidating business with fewer, trusted vendors. TECHNOLOGYT EDMOND BUCKLEY President, Aspen Grove Solutions e overall level of mortgage delinquen- cy has dropped over the last number of years and we see this trend continuing over the coming year. We are also predicting an ease in the level of regulation overhead. ese two factors mean that the servicing supply chain, from the servicer to the field service professional, can dedicate more time to concentrate on service, quality, security and business intelligence, driven by and through technology from a business need perspective. As an industry, we must always strive to enable technology solutions that embody service, security, quality and business intelligence. Business lead- ers in 2017 will focus on these business-critical aspects of technology solutions, as the time is ripe to make them a priority. e "service" trend includes vendor manage- ment and compliance. Technology is leading the way in terms of providing solutions that enable vendor networks to be trained, to be compliant, and to deliver excellent service through inte- grated solutions that wrap data end-to- end in the supply chain. is service focus, by default, lends itself to better quality. However, if you add automated workflow and automated quality check weigh-stations along the service delivery highway, then excellent quality will be delivered through technology. We cannot escape the security threats that are increasing daily. Technology solution providers have to ensure that they focus on this aspect of ser- vice delivery not just as an add-on but also as a core element of development and operations from end- to- end. Secure code reviews, firewall protection, and security certifications are all critical technology services. Additionally, we must also enable our cli- ents and teams to identify threats and trends both internally and externally through our solutions and the data captured through our solutions. Which leads us finally to data analytics and business intelligence, which make so much sense for business leaders. Creation and delivery of reporting solutions that enable business leaders to know, understand, and drill down into the data is a must-have and will form a critical part of what we do in 2017. It is not enough to provide and enable self-serve reporting; we have to combine that with our domain expertise to help our clients create value from the data, to easily spot trends, to high- light anomalies and to drive quality and service. With current industry trends in mind, we think now is the time to focus on technology that helps provide business-critical solutions around service, security, quality and business intelligence. EXPERT OPINION "The good news for title agents and settlement providers is that the housing market will continue a strong pace in 2017, fueled by low mortgage rates, the perceived safety of the U.S. real estate market and the entry of Generation Y into peak home-buying years." –LINDSAY CARRINGTON EXPERT OPINION "As an industry, we must always strive to enable technology solutions that embody service, security, quality and business intelligence." –LINDSAY CARRINGTON

• Cover