Non-QM Forum
Los Angeles, CA
November 14 - 15, 2019

Description

Non-QM lending could surge by as much as 400% this year, growing to $10 billion in volume, up from $2 billion in 2018.*
 
Is there a mortgage market hotter than the Non-QM market?
 
With the enormous growth rates expected in the Non-QM markets and the needs for education and networking that goes along with this growth, IMN is excited to be constructing our Inaugural Non-QM Forum.

A host of conferences such as: ABS East, The Credit Risk Transfer Symposium, The Residential Mortgage Servicing Rights Conference, and The NPL, Notes & Default Servicing Forum, we are looking forward to seeing you at to this brand new event - Nov 14-15 in Los Angeles.
 
As with IMNs other mortgage conferences this forum will be constructed from both the loan origination and investor perspectives delving into the critical issues through panel discussions with multiple points of view and smaller group meetings and roundtables for a more individual experience.

We look forward to seeing you in November.
 

 
*According to the most recent State of the Originations Industry report from Altisource Portfolio Solutions.


Who Should Attend
   

My Agenda

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Agenda

    General Session

      Economy Overview /Non-QM Market Drivers

        • What is the volume of QM during the last year? What is your prediction for the next year?
        • What kind of potential capital can come into the market? What would happen if it does come in?
        • Comparing the bank and non-bank markets
        • How much is the Non-QM patch holding the market back? Which other regulatory risks concern you?
        • Non-QM in this interest rate environment




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      State/Federal Regulatory Panel-Solutions to the Non-QM Patch

        • When do you expect the changes? What do you expect the new rules to look like? What kind of an impact will they have on the market?
        • FHA vs. Fannie & Freddie
        • Average prime offer vs. DTI
        • What is new on the agendas of state regulators? Federal regulators?
        • Dodd-Frank considerations
        • Licensing requirements to consider  
        • Future of the GSEs and the impact on Non-QM
        • Using GSE automated underwriting systems for approval of QM status
        • Risk retention regulations 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Originating vs. Wholesaling vs. Servicing vs. Buying Paper: Which is the Way to Go? What is the Most Efficient Structure to Have Exposure to the Non-QM Market?

        • Entity construction options
        • Acquisitions options: Flow vs. bulk
        • Relative value of buying paper vs. institution
        • Licensing requirements
        • Regulations: Which approach has the least hurdles to leap?  
        • Economies of scale: Is it still worth doing it all? 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Non-QM Historic Performance

        • Looking at past cycles and late cycle performance
        • What sectors of legacy mortgages are you using to guide you?
        • Pre- vs. Post-crisis loans
        • Bond vs. whole loan losses
        • Level of distress in the economic environment vs. performance
        • Impact of patch solution proposals on potential future performance
        • Effect of local natural disasters
        • Home pricing and unemployment scenarios
        • The last 5 years of performance




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

    Origination

      Finding Business: Marketing & Sourcing Non-QM Clients

        • What are you finding is your highest-yielding strategy?
        • Comparisons vs. other standard mortgage products
        • What is successful on the social media side? Digital marketing?
        • Non-traditional lead sources: Which one(s) really work?
        • Why loan officers from banks and credit unions are good sources of leads
        • Your friend the real estate agenda and divorce lawyer




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Starting your Non-QM Program

      • (Closed door small group meeting for originators)  How do I market Non-QM products vs. QM products vs. old-style subprime? What kind of training and licenses do I need? What should I look for in a wholesaler? How can I measure the client’s ability to pay? These are a sample of the questions all loan officers need to ask before embarking on the journey to start a non-QM lending program. The small group format will encourage you to ask questions and hear how peers attack the same issues you have.   



        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Evaluating the Plethora of Products For Origination

      • This discussion will talk about the key characteristics, fees and features of products that do not comply with the CFPB existing rules for qualified mortgages such as:
        • Low doc products
        • Jumbo loan variations
        • Cash out refis
        • Fix & flip, small apartment buildings and commercial non-QM
        • Shared appreciation and equity products
        • Interest only and ARM mortgages
        • Bank statement products
        • The newest non-QM variations
        • Comparisons vs. pre-cycle products
        • Comparing credit and interest rate sensitivity and risks of different products  
        • Who is the buyer base?




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Underwriting, Pre-Qualification Procedures, Calculating Bank Statement Income & Ability to Pay

        • Evaluating at self-employed customers and gig economy participants
        • Ability vs. willingness to pay
        • What kind of scenarios do you look when evaluating the ability to pay?
        • Assessing product suitability
        • Jumbos vs. super jumbos
        • What is the “not so secret sauce?”
        • Where is the risk?
        • Alternative methods of income validation
        • What should you look for in a non-QM underwriting system?
        • What kind of documentation do you use?
        • Managing risks of undocumented foreigners




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Making the Origination, Approval & Closing Process More Efficient and Less Risky

        • Uploading customer data
        • Loan scorecards
        • Auto origination, appraisal and scheduling engines
        • Merging with credit engine
        • Getting pre-approval
        • Product and pricing engines
        • Automation: What have you done?
        • Measuring bank statement income
        • Third-party due diligence
        • What should your web have available in a few clicks?
        • What do borrowers look for in a non-QM portal?




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Large Originator/Wholesale Senior Executive Panel

        • Going direct to consumer vs. using correspondents: Comparing channels of origination
        • Which products do you offer?
        • What is the latest risk management process you have enhanced? Technology you have updated?
        • Regulatory mandates: How are you fairing?
        • Direct-to-consumer vs. Correspondent strategy
        • How are you reacting to all the new players in the space?
        • Retain vs. sell vs. securitize




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Small/Mid-Sized Originator “C-Level”/President Panel

        • How do you handle the diversification risk in a small platform?
        • Sell vs. keep
        • Portfolio financing strategy
        • As credit spreads tighten…
        • Servicing strategy
        • Biggest compliance challenges in a small shop
        • How do your loan officers find business?
        • What kind of products do you offer? Are you looking into others?
        • Training and onboarding strategy




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      The Broker/Correspondent “C-Level” Panel

        • What kind of due diligence do you do when choosing a wholesaler? What are the keys to maintaining an effective relationship your wholesaler?
        • What is the latest product you added onto your platform?
        • What is your marketing strategy?
        • Evaluating the processing side
        • Is non-QM a catalyst for business growth?
        • Which non-QM product(s) have the most demand?
        • What kind of non-QM product does the industry need? 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      The Wholesale/Correspondent Partnership Selection Shark Tanks

      • Looking for a new wholesaler? IMN has taken its popular shark tank concept into the origination side of the business where you’ll see 2 correspondents who are looking to offer non-QM mortgage products compare the offerings of different wholesalers and choose who they will do new business with.  



        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

    Post Origination

      Improving the Quality of your Loan Portfolio: Recapture, Prepayments & Keeping Payments Up-To-Date

        • Buyback prevention
        • Refinance/sell and recapture: What are the critical factors?
        • Prepayment assumptions: Going up or down?
        • Comparing different types of non-QM loans and their prepayment and recapture rates
        • Loan quality and the local economic conditions: Do you factor in?
        • Improving Jumbo loan quality
        • New production MBS: Are they at a bigger risk from surges in prepayment speeds?
        • Default prevention methodologies and recovery strategies




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Servicing the Non-QM Product

        • What makes servicing the non-QM product unique vs. other mortgages?
        • Keys to a smooth onboarding
        • Modifications, loss mitigation, foreclosure and property preservation
        • Rating the servicers
        • Subservicing best practices
        • Why assist customers finding insurance and other products?
        • Recapture best practices
        • Securitized vs. whole non-QM loans
        • Pricing and fees
        • Regulations and compliance: What’s changing?




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Compliance/Quality Assurance/Control/Reporting

        • Ability to pay and TRID reviews
        • What is currently your biggest regulatory challenge? …The patch-Dealing with compliance ambiguity?
        • Compliance due diligence best practices when on-boarding new loans
        • Automation and the latest technology improvements
        • Compliance costs
        • Garbage in-garbage out: Getting what you need from the underwriter
        • Eligibility requirements and rule interpretations
        • Looking out for fraud
        • CFPB, licensing and other changing regulatory standards
        • Outsourcing




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

    Capital/Risk Management/Secondary Markets

      Retain vs. Sell vs. Securitize

        • Why are you keeping a position?
        • Risk retention: Capital vs. administrative costs
        • Credit risk retention rules to consider
        • Complying with credit risk retention rules
        • What if you can’t get your price on a sale?
        • Retaining the loan vs. the servicing
        • Retained loan funding strategies
        • Role of current interest rate environment




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Non-QM MSR

        • What is your MSR strategy in this current interest rate environment?
        • Are you selling, acquiring, or retaining servicing rights?
        • Valuing non-QM MSR
        • Portfolio financing strategy
        • Servicing and subservicing
        • Risk management and hedging
        • Regulatory considerations
        • Measuring market liquidity




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Valuation/Liquidity: A Comparison of Non-QM Products

        • Pre-payment speeds and interest rate sensitivity
        • What process do you use to value Non-QM
        • Valuing new issue vs. seasoned paper
        • Property-level value issues
        • What will cause the next mortgage liquidity crisis?
        • Valuing performing vs. re-performing vs. non-performing
        • Mark-to-market policy
        • 4th quarter volatility 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      The Traders Secondary Market Panel

        • Where is spread, liquidity and pricing for the various non-QM products?
        • How do you evaluate new paper?
        • Acquisitions options: Flow vs. bulk
        • Due diligence review
        • Acquisition/disposition parameters
        • Analyzing Collateral
        • Evaluating historic performance metrics
        • Bidding for loan packages
        • Working with correspondents




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Mortgage Relative Value Plenary: Is there Room for Price Appreciation in Non-QM Paper?

        • Risk-adjusted return expectations
        • Where is the risk that you don’t know?
        • Relative value of different non-QM products and vs. other mortgage and fixed income investments
        • How do you see market conditions changing relative value?
        • What are your favorite determinants of relative value today?
        • Whole loan vs. securitized paper
        • Role of credit strength of paper 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Buyer/Seller Shark Tank

      • This panel will feature 2 non-QM  deals pitched to these potential buyers followed by a question and answer period for each of the transactions
         



        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      The Legal Side-Reps, Warrants & Due Diligence

        • Buyback provision if default
        • Reliance letters
        • What to look for in a  vendor, or 3rd party due diligence firm
        • Latest use of technology
        • Evaluating loan files
        • Rep exception schedules and compliance defects
        • Pre-securitization due diligence
        • Legal risks to evaluate
        • Legal structure and documentation review-What should you look for?  




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Securitization: Will the Non-QM Boom Extend to the Securitization Market?

        • Which products are securitizable? How much non-QM product do you need for it to make economic sense?
        • Public vs. 144a
        • What level of subordination are you looking for? Comparing subordination vs. wrap structures
        • Who’s issuing? Buying?
        • SEC stuff
        • Traditional servicer, sub servicer, or special servicer-Who should handle the loan?
        • Due diligence and rating agency approval
        • Diversification concerns and credit performance
        • What are optimal securitization conditions and minimum pool size for the non-QM originator?  




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Non-Securitization Financing Options

        • What kind of warehouse lines and repo are available?
        • Distinguishing between different warehouse lenders
        • Determining how large a facility to offer
        • Current terms and structures
        • Leverage and taking credit risk on a short-term facility
        • Net interest margin
        • Diversification of financing sources
        • Repo vs. LIBOR movements
        • Recent rate changes: Why?
        • Repo/swap coverage ratios 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Measuring & Stress Testing Volatility & Liquidity Risk

        • Stress scenarios
        • How relevant is historical performance?
        • Approach to analyzing risk
        • Evaluating small pools
        • Cash flow analysis
        • Weighting pool default, loss severity, prepayments and delinquencies
        • Stressing the subordinate classes
        • Home price stress scenarios
        • National, regional, or local stresses 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

      Financial Risk Management & Hedging

        • Minimizing risk on the origination side
        • Managing pipeline risks
        • Evaluating the credit sensitivity of various non-QM products
        • Seller diversification
        • Which risk management tools are the best hedges for different non-QM products?
        • Going natural: The performance of unhedged portfolio historically 




        ** This session contains presentations. Presentations will be made available to conference registrants starting first day of the conference.

Sponsors

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To register for this conference you must be signed in

  • *Super Early Bird: Originators/Investors/Government Employees - $1,495
  • *Early Bird: Originators/Investors/Government Employees - $1,595
  • *Standard: Originators/Investors/Government Employees - $1,795
  • Standard Super Early Bird Registration - $1,895
  • Standard Early Bird Registration - $1,995
  • Standard Registration - $2,195
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Venue

  • Conference Venue
  • Sofitel Los Angeles at Beverly Hills


    8555 Beverly Blvd
    Los Angeles, CA, 90048
    USA

    Additional Info:

    Please use the link above to make a hotel room reservation in IMN's room block, pending availability, until our cutoff date of Monday, October 21. 

    IMPORTANT NOTE: IMN has not retained a third party booking company to assist with reservations. If you are interested in making reservations at the Sofitel Los Angeles at Beverly Hills, you must book those rooms directly with the venue. 

1120 Avenue of the Americas, 6th Floor, New York, NY 10036
Tel: +1(212)901-0506 Fax: +1(212)768-2484
Email: mail@imn.org


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