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72 I N D U S T R Y I N S I G H T / K E N D A L L B A E R No matter what part of the industry you do business in, one thing is clear—building solid relationships is crucial to success. In particular, it is crucial for vendors and servicers to work together, whether to ensure compliance to new regulations or simplify the mortgage process for the homeowner. However, understanding the need to work together doesn't mean the "how" is always easy. is month, DS News sat down with six industry professionals who have worn both the servicer and third-party vendor hat in their careers to hear their perspectives on how to create, build, and maintain effective relationships between servicers and vendors going forward. We are tapping into the knowledge that these experts have gleaned over long careers on both sides of the fence so you can make strengthening industry relationships a resolution that you keep in the new year. FINDING THE RIGHT FIT Selecting the right partner is the first step in building a strong vendor-servicer relationship. While there are many factors at play in this decision, one of the most important for servicers is becoming acquainted with the inner workings of their vendor partners. John Vella, CRO for Altisource, says looking back to when he was a servicer (with companies like GMAC Mortgage, Bear Stearns, and Option One), he wishes he would have asked things like, "What is the ownership structure of that vendor, and are they well-capitalized in today's world? Is the vendor investing in their business because they may have lost business due to the decline in portfolios? Are they continuing to invest in their own technology, people, and resources? What's the quality of the staff that the vendor has?" Brian Mingham, CEO for National Real Estate Solutions, also shares in Vella's sentiment, saying that in a normal market, it is extremely important to know your vendor. Today, Mingham is the CEO of National Real Estate Solutions, a company he founded, but previously he worked for JPMorgan Chase and Countrywide Home Loans. "I don't think we ever really looked at that as much as we should've in the early 2000s," Mingham said. "It was always just about getting it done and was that person performing at whatever we said or thought was good. Now it's very metric-driven, and servicers are always monitoring." CULTIVATING THE RELATIONSHIP After taking the time to select the right partner, growing a healthy and strong relationship becomes the top priority. Vella says Professionals who have been on both sides of the servicer- vendor relationship discuss partnering strategies. TAPPING INTO TALENT