Innovation is alive and well. Technology vendors are always looking for creative ways to help lenders reach new markets. For example, The Mortgage Resources Group, LLC (MRG) team of industry experts, leading providers of mortgage document preparation software and legal compliance; and Land Gorilla, LLC the industry leader in risk management solutions for construction and renovation loan products are combining their years of experience and expertise to address all lender concerns with respect to construction lending. Here’s how it works:
The construction lending business is booming, and we are in the midst of a sustained and indeed climbing construction market with significant momentum. This uptick is being driven by the improving labor market, and adding jobs is particularly important to young adults on the verge of forming their own household. Most of the trends and forces that have slowed the housing recovery are gradually disappearing. More households are being formed; more jobs are being created; home equity is increasing; and confidence is coming back. For the remainder of this year, into next year and beyond looks particularly strong for all these reasons. The pent-up demand for a new home and the arrival of first-time home buyers is very strong.
The complexities and intricacies of construction lending can be daunting, particularly with the nuances of TRID and the ramifications the CFPB imposes for inconsistencies and non-compliance that come along with it. Disclosing and closing, when and how can be and are confusing; inspections, appraisals, reporting underwriting…the list of actions is intense. Engaging with the wrong vendors can cost thousands of dollars and these mistakes start with an uneducated approach to construction lending itself and the processes that surround it.
The good news – it doesn’t have to be difficult or costly – there is a solution. The first thing to understand and help guide lenders through this is that there are partners who specialize in this field to make it worth the price of admission. All of the moving parts that multiply the chance of a problem – a legal problem – occurring, are mitigated and the risk associated with it. That’s the difference between something industry-specific, best in class and something generic.
“Construction lending should be safe and hassle-free. Land Gorilla believes that construction lenders, contractors, and borrowers need to be protected from the inherent risks associated with traditional construction loan management practices. Our team of industry experts are pioneering a new ecosystem of construction loan management that is cloud-based, efficient, safe, and 100% compliant,” said Shannon Faries, Director of Risk Management, Land Gorilla.
“The benefit of this relationship is to help lenders understand that there is a combined, best industry solution available to them that addresses all facets of the process while keeping them in compliance – worry free,” said Kathleen Mantych, Senior Marketing Director, MRG. “MRG’s compliance ecosystem in tandem with that of Land Gorilla allows lenders to be focused on generating and maintaining a profitable business while leaving the heavy lifting to us.”
This collaborative partnership will be exhibiting at the MBA National Secondary Conference in New York, NY May 15th through 18th at booth #421. Stop by and talk to these two organizations for an in-depth view of their knowledge and expertise – experience the difference.
You can find out more about Land Gorilla online HERE.