Issues Facing Originators

As Volume Declines, How Can LOs Maximize Opportunities?

Written by Carl Tyree

Thanks for all the great comments and emails we’ve received recently, telling us we couldn’t have picked a better time to introduce Arch MI’s new RateStar Buydown℠.

Your feedback shows that the ability to customize – or buy down – the monthly MI premium to an exact dollar amount is making a big difference for loan originators. At a time when both margins and volume are declining, every loan that qualifies is more important than ever – so LOs need a tool that ensures they won’t lose that business to a competitor.

One loan originator even called it “the best thing to happen to MI since RateStar℠ itself.”  The original Arch MI RateStar® was rolled out several years ago and immediately impressed the industry with its unique ability to match individual loan risk to our most competitive rates.

At a time when both margins and volume are declining, every loan that qualifies is more important than ever – so LOs need a tool that ensures they won’t lose that business to a competitor.

It was quickly apparent that lenders who didn’t use RateStar weren’t always getting the best rate for their borrowers, because only RateStar factored in numerous loan characteristics that conventional rate cards didn’t even consider.

RateStar’s latest innovation, RateStar Buydown, was introduced just a few weeks ago. Lenders can now quickly present homebuyers with a variety of options for upfront and monthly MI premium.

LOs benefit by being able to offer unique payment scenarios that the competition can’t beat or even match, so they’re less likely to lose a loan:

  1. RateStar Buydown uses all available lender credits, seller incentives or borrower funds. When combined with Arch MI’s most competitive pricing through RateStar, the result is lower costs overall, with no money left on the table.
  2. In the underwriting process, LOs can apply lender credits for more affordable MI premiums to meet debt-to-income (DTI) requirements.

Together, RateStar and RateStar Buydown are a team that can drive your volume to new heights. We’re glad it’s working for so many of you and we applaud those of you who are encouraging colleagues to leverage RateStar Buydown to qualify more loans.

At Arch MI, we see the new RateStar Buydown solution as another clear example of our commitment to innovation that increases origination opportunities for lenders.

For more information on how RateStar Buydown can help you, contact your Account Manager or visit archmi.com/ratestar.

About the author

Carl Tyree

Executive Vice President, Chief Sales Officer
As Chief Sales Officer, Carl Tyree oversees Arch MI’s sales teams and manages customer relationship strategies. He was promoted to his current position in 2018. Mr. Tyree joined the company in 2013 as Vice President for National Accounts, where he managed the company’s relationships with the top 50 lenders, and became Senior Vice President for National Accounts in 2016.