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4 Solutions Lenders Can't Live Without in Today's Market

October 19, 2020  //  BY Team DataTree

The landscape of the mortgage lending market has changed dramatically over the past several months. Amid unprecedented job loss, historically low interest rates, higher refi and purchase volumes and health concerns tied to COVID-19, lenders are adapting to a so-called new normal where there are new challenges to address. These concerns stretch from delays in employment and income verification on the origination front to the unknowns of forbearance for servicers.

At First American, we understand the challenges professionals face in today’s lending market — and we offer solutions to support every step of real estate finance. With reliable scoring models and data analytics, we help businesses resolve problems pertaining to these uncertain times, as well as address everyday concerns like loan quality and customer retention.

Solutions to Address Current Pain Points in the Lending Market

Employment Verification & Income

When verifying or re-verifying employment and income information of a prospective applicant at the end of a loan, loan originators must have access to reliable employment contact information. Yet, it can be both difficult and expensive to find a neutral source outside of those employer contacts used by underwriters. Using our FraudGuard platform, mortgage professionals can automatically access an additional contact outside of the business for third-party verification — helping those in the lending market move faster with confidence.

Appraisal Waivers (Or Limited Physical Appraisals)

As part of our mortgage solutions, we offer automated valuation models (AVMs). Whereas it can traditionally take several days to receive the results for a human-based valuation, these AVMs use statistically based computer models to estimate property valuations in a matter of seconds. With multiple cascading options available, our solutions pair instant results with a high hit rate.

Undisclosed Debt

Throughout the lending process, a client’s debt profile can change — and it’s important that lenders have a way to monitor new debts incurred and subsequent risks tied to a loan. From the Undisclosed Debt Monitoring module in FraudGuard to Real Estate Owned modules via DataTree Online or standalone APIs, we provide lenders with an array of resources to easily verify undisclosed debt and thus improve the quality of their loans. (Additional First American solutions include Open Lien reports, TaxSource, HOA/PACE lien data and liens or judgements.)


While the number of loans moving towards forbearance seems to be decreasing, economic uncertainties mean that mortgage professionals need to continue to monitor this trend in relation to their own portfolio. Available as a standalone product and an integration with FraudGuard, the Forbearance Indicator by First American helps loan servicers and originators alike manage the potential for borrower forbearance.

We Help Lenders Adapt to Current Conditions and Plan for the Future

As lenders navigate the ongoing impact of COVID-19 on both business and the economy, First American is working diligently to deliver data and technology that benefits their bottom line. With years of experience building, curating and growing the industry’s largest database of public records and expertise in the development of new technologies, we’re helping lenders acquire the information they need to sustain efficient operations, with quality ensured at every stage.

Looking to the future, we anticipate an increase in loss mitigation due to forbearances as well as the continuation of low interest rates amid economic uncertainties, which in turn will translate to the continued demand for refinance and purchase loans. With these factors in mind, the team at First American is committed to capturing input from our customers to meet evolving their needs — with the goal of delivering unmatched service in the marketplace.

To learn more about how our mortgage lending solutions can benefit your business, schedule a meeting to speak with one of our experts.


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