Mortgage bankers are experiencing a dramatic increase in new servicing hires and loss mitigation staff in order to handle the tidal wave of delinquencies sweeping the nation.
Speaking at SourceMedia's Best Practices in Loss Mitigation Conference in Dallas, Stephanie Lowe, vice president for special servicing and loss mitigation for GMAC Financial Services, said her company has added more than 500 employees and developed a technology system in-house to deal with bulk decisions.
GMAC Financial Services offers three weeks of classroom training as well as a week of intense on-the-ground training for employees to learn more about how to explain the Home Affordable Modification Program to borrowers.
There is no shortage of excellent originators who have the skill set to deal with delinquent borrowers — and servicers are capitalizing on that talent pool, added Scott Gillen, vice president, Stewart Lender Services.
Many shops are migrating large numbers of staff from other products, including in-house processors, to early stages of default. These employees are being trained while the company works on technology advancements.
"A lot of re-tasking is being done, especially now that refis have leveled off a bit," said Mr. Gillen. "No one wants to let anyone go."