Posted by nobhill on 11/10/10 4:34pm
Msg #360637

Future of Loan Signing Agents & State of Banking Industry

The era of low interest rates may be ending very soon. What will this mean for our profession? Does anyone anticipate what the changes in the banking industry will cause us to change in our businesses? My guess it will wipe out a lot of us and respective agencies very quickly. The only thing I foresee that can save any business is converting to the e-signings and electronic document delivery systems.

Any comments or ideas? Am I premature to be making this assessment of where the banking industry's headed? I was swamped with tons of work September and October and am in a holding pattern wondering what's going on. I heard rumors of a bank holiday on Monday and there as an ATM glitch all over the country that was tweeted about.

Does anyone have any information to share? I really would have loved to have done this kind of work in the golden age and really regret having a 9-5 job for so many years when I could have had so much fun doing loan signing work meeting new people and doing something positive assisting their getting a low interest rate.

Reply by Les_CO on 11/10/10 5:24pm
Msg #360654

As long as there are Title Companies wanting to do business in places they don’t have ‘brick&morter’ offices there will be a need for NSA’s or attorneys to do ‘remote closings’ regardless of interest rates, or foreclosures, or an up, down, or stagnant real estate market. However it is my opinion that there are many in this business that should not be, and if market changes * “will wipe out a lot of us” * it would be a welcome change. Several thousand less in this business would not be a bad thing. JMO

Reply by nobhill on 11/10/10 9:10pm
Msg #360685

Thanks for the info Les. I don't understand how there can be refinancing when the interest rates are going to start going up.

Reply by Les_CO on 11/10/10 10:05pm
Msg #360703

If you’re asking why or if a person with a 4.5% 30 year loan would refinance if the interest rates go up to say 6% I can’t answer. Are interest rates going to go up? I believe so. Does anyone out there still have a 7% or 8% loan now? I think so. Why don’t they refi? I can’t answer that. With millions of homes being foreclosed on, and millions of others with a debt greater than their value, is the real estate boom coming back soon? I think not. Is the worst for the real estate, mortgage, lending, banking, title insurance industry over? I think not. In these days of high unemployment, and some desperate for work of any kind, part time or not is the NAA still cranking out notaries, and ‘signing agents’ at totally unneeded levels? I think so. Will it be more difficult to ‘make a living’ as a NSA next year than this? I suspect so. However as long as there are Title Companies, and Title Insurance involved in real estate transactions, and some of those companies do business where they don’t have physical offices, there will be a need for NSA’s or Attorneys to present the ‘out-of-office’ closings, maybe not hundreds of thousands of NSA’s, but some.JMO

Reply by Anita Posluszny on 11/10/10 6:12pm
Msg #360664

I was very busy in Sept and Oct. and now I sit and wait for the phone to ring. What is going on? The interest rates are still low.

Thanks,
Anita

Reply by SheilaSJCA on 11/10/10 8:48pm
Msg #360678

it is the beginning of the month, stuff still in process... n/m

Reply by nobhill on 11/10/10 9:09pm
Msg #360684

Re: it is the beginning of the month, stuff still in process...

Thanks so much for the info.

Reply by nobhill on 11/10/10 9:08pm
Msg #360683

I think the banks are dealing with some things. It seems this is all very tightly controlled in terms of the money supply.

Reply by oldhippie_IL on 11/10/10 9:23pm
Msg #360689

Rates are going up?????????? n/m

Reply by nobhill on 11/10/10 9:25pm
Msg #360690

Re: Rates are going up??????????

Because of the Fed's announcement of QE2 it is really bad news. It's crazy they're printing out billions more dollars. It will spark inflation and send the world into a tailspin. Be prepared, things are very bad up ahead for all of us.

Reply by ROD RHaynesMarketing on 11/10/10 10:01pm
Msg #360701

DID YOU SAY YOU HAVE COMPLETED THE MORTAGE LOAN?

Reply by C. Rivera Chicago Notary Services on 11/11/10 2:21am
Msg #360720

not sure where you've been in the last year or so, but

the effect has happened, and for me, I think its slowly (very slowly) rescinding. There were lots of nsa's that threw in the towel, and many very good SS and TC's tanked as well because of the past mortgage crisis.

E-signings may increase, as technology advances, and seems to make things easier (sometimes), and more efficient, but I do not see this as solely the wave for future closings. Some professions just can't be totally computerized.

In another post, I stated that one of the reasons why our profession, NSA, will NOT be going away anytime soon is because we are in fact a much needed commodity - a convenience for borrowers who will pay. We provide lenders, tc's and ss, the convenience of meeting with their client at a time and place they designate, and as long as their clients want this convenience, and they all do, as our society is a world filled little conveniences we can't live without (like Starbucks) the nsa will always have work.

I guess it doesn't hurt to have a 9-5 job either, but if you want this profession to be your full-time job, then it takes lots of hard work and its an never ending process. If you want an easy job, in and out in 8 hours, by all means, go for it as one less nsa is one less I have to compete with.

But I prefer to be my own boss. Its a never ending process of finding and keeping good paying (stress paying) clients but this profession does pay and will be around for a long time.

Reply by ReneeK_MI on 11/11/10 5:57am
Msg #360734

If I recall correctly ...

When the mtg interest rates were at 18% back in the late 70's, the sky did not fall. Anything that goes up must come down, conversely what comes down generally goes back up. Rational caution and common sense is healthy - fear of what MIGHT or MIGHT NOT happen isn't so healthy.

At any moment it could all become a moot point. Try and enjoy the day! =)

Reply by Linda_H/FL on 11/11/10 8:41am
Msg #360753

What holiday is Monday? n/m

Reply by JanetK_CA on 11/12/10 3:44am
Msg #360938

"I heard rumors of a bank holiday on Monday and there as an ATM glitch all over the country that was tweeted about."

(This whole conversation should probably be in Just Politics.) However.... the key may be in being cautious about what rumors you listen to - especially these days. There are lots of folks out there making tons of money by stirring up fear and lots of people from a variety of political or economic perspectives with an agenda to push a particular point of view.

These days, it seems like the truth is irrelevant. Or they state an opinion or an unknown as a fact. Just because something is in print - on paper or over the internet - or heard over the airwaves, on radio or network TV or cable - doesn't mean there's a shred of truth to it.

A little preparation never hurts, but over-reacting to something might.

As for your question about where we're going, who knows? There are lots of different possibilities, but I don't see us returning to the heydays of 5 or 6 years ago - at least not for any sustained period of time. Renee's post about everything running in cycles makes tons of sense to me. jmho