(PRWEB) December 07, 2015
NewFed Mortgage Corp., a multi-state residential mortgage lender, and Georgetown Bank, a federally chartered financial institution headquartered in Georgetown, Massachusetts, are approaching the one year anniversary of their third-party origination (TPO) agreement in January 2016. Both parties have seen business growth and measurable success during this first year of the partnership.
"We wanted to keep our robust retail mortgage origination division active, but we also needed an alternative to costly, full-service retail mortgage lending platforms", said Fred Weismann, EVP/COO of Georgetown Bank. “Traditional platforms require a great deal of staffing resources past the origination stage, along with the complex compliance-related responsibilities, and the partnership with NewFed has enabled us to avoid those roadblocks.”
NewFed Mortgage has specialized in residential retail mortgage lending since 2001. Licensed in five states, NewFed had the infrastructure, technology, and processes to focus solely on mortgage lending. NewFed President Brian D’Amico was looking to grow the company's origination business from the traditional retail origination footprint, and he was intrigued by the possibility of adding on a wholesale channel of business to complement its long-running retail business line of originations.
“Maintaining trust with customers and providing quality loan products were seen as primary objectives for this agreement with Georgetown Bank," said D'Amico. “We both wanted to expand our lending goals, and at the same time continue to strengthen their customer relationships."
NewFed Mortgage has significantly increased its origination volume, with the program being so successful in the last year that the TPO agreement became a true cross-lending initiative with business being sent to Georgetown. The TPO collaboration is built around agency conforming, non-conforming/jumbo and FHA insured mortgage loans. The key to the program's success has been the collective experience of the leadership at both companies. Georgetown's Robert Rossignol, AVP and mortgage originations manager collaborated with John Wight, VP of lending at NewFed, to ensure a smooth transition for loan brokering to the mortgage company earlier this year.
Both companies have seen significant growth in loan volume because of the origination agreement. The two lenders have open and responsive communication between all departments, including secondary, processing, underwriting, and closing, which has facilitated millions in closed dollar volume this year.
The TPO program benefits borrowers as well. As part of its TPO initiative, NewFed offers scenario help desk for any origination-related question or issue, and offers an after-hours rate lock option. Its team approach provides personalized, open communication from processing to loan closing for all borrowers. Its loan officers can provide greater focus on borrower needs, while Georgetown can provide better pricing and superior local service for their loan products.
As a result of the TPO program's success, NewFed is now expanding origination relationships with similar lending institutions. The company can custom design a wholesale TPO program that meets the lending needs of its partners. NewFed will also consider acquiring personnel from a lender's existing mortgage platform in order to manage the increase in loan volume. For example, under the partnership with Georgetown Bank, NewFed hired a loan processor from the bank with considerable experience in wholesale mortgage lending. This enabled a smooth transition because they acquired someone who understood how the bank's mortgage lending process previously worked.
About NewFed Mortgage Corporation
NewFed™ Mortgage Corp. was founded in 2001 as a residential mortgage lender. MA License No. MC1881, NH License No. 9474-MB, RI License No. 20041817LL, FL License No. MLD652, Maine Lender License #SLM8185. NewFED™ Mortgage is an Equal Housing Lender. Member of the MA Mortgage Bankers Association and Better Business Bureau of Eastern MA. For more information, contact NewFed Mortgage Corp. at (877) 639-3331 or email to info(at)newfed(dot)com.
About Georgetown Bank
Georgetown Bancorp, Inc. is the holding company for Georgetown Bank. Georgetown Bank, with branch offices in Georgetown, North Andover and Rowley, Massachusetts, is committed to making a positive difference in the communities we serve. We strive to deliver exceptional personal service at all times and to help each of our customers achieve their unique financial goals through a competitive array of commercial and consumer banking services. To learn more about Georgetown Bank, visit http://www.georgetownbank.com or call 978-352-8600.