NEWPORT, R.I.--(BUSINESS WIRE)--Embrace Home Loans, a prominent leader in the mortgage industry and a direct lender for Fannie Mae and Freddie Mac, approved by FHA and VA, and an issuer for Ginnie Mae, today launched its Affinity Mortgage Solution, a new residential lending program for community banks and credit unions.
Many financial institutions are exiting the mortgage business because of increased risk, complexity and rising costs. In fact, originations in 2014 are projected to be at a 15-year low while the cost of originating is at an all-time high, but mortgages still remain a core product.
In response, Embrace Home Loans developed the Affinity Mortgage Solution to provide community banks and credit unions a residential lending program that is simple, risk-free and profitable. A private label (branded in the financial institutions’ name) fully outsourced program offering conventional, FHA, VA and USDA residential mortgages, Affinity removes all regulatory oversight from the institution but helps maintain its customer base. Further, Embrace manages customer engagement to advance the institutions’ brands and cross-selling opportunities.
Unique within the industry, Affinity leverages Embrace’s innovative, customer-centric approach to lending. By incorporating emotional connection and superior service, community banks and credit unions continue serving their customers in a way that aligns with their culture.
Additional benefits of Embrace’s latest program include:
- Reduces the level of resources and capital dedicated to a non-core product;
- Mitigates risk associated with increasing regulation, compliance rules, qualified mortgage and increased document requirements;
- Eliminates rising staff and technology costs;
- Increases competitiveness with a wide breath of products including conforming, government, state bond programs and jumbo products;
- Retains customers; and
- Capitalizes on cross sell opportunities.
“The impact of substantial mortgage regulations and the contracting of the mortgage market under a higher interest rate environment have placed community banks and credit unions in a conundrum,” said Dennis Hardiman, CEO and founder of Embrace Home Loans. “There is a significant value and need to provide mortgage products to customers in order to retain them and extend their brand, yet delivering mortgages and doing so profitably is practically impossible in today’s environment. With our latest Affinity Mortgage Solution, we’re helping these institutions keep their mortgage business while removing the risk and reducing costs – essential to maintaining their customer base as well as staying competitive and profitable.”
To learn more about how Embrace is uniquely positioned to provide community banks and credit unions with a solid mortgage solution, please call 1-800-333-3004 or email Jacqueline Weed at jweed@embracehomeloans.com.
About Embrace Home Loans
Founded in 1983, Embrace Home Loans is a direct lender for Fannie Mae and Freddie Mac, approved by FHA and VA, and an issuer for Ginnie Mae. Embrace Home Loans has remained a prominent leader in the industry, having helped hundreds of thousands of individuals and their families purchase new homes, lower their monthly payments and consolidate high-interest debt since its inception. For more information, please visit www.embracehomeloans.com.
