First American Loan Production Solutions Adds Enhanced Borrower Data and Workout Options
-End-to-End Solution Will Help Servicers Handle High Levels of Demand While Reducing Risk of Foreclosure-
July 24, 2008, SANTA ANA, Calif.
First American Loan Production Solutions, a member of the First American Corporation (NYSE: FAF) family of companies and a leader in document and loan fulfillment services, announced today that it has expanded its borrower identification data and workout options to create a complete loan modification solution designed to help servicers prevent foreclosures.
The new offering combines credit scoring, valuation services, risk modeling, scoring, document preparation and document recording to identify borrowers who are most at-risk of foreclosure. Based on this information, borrower refinance and workout options are presented and documents required to complete the loan modification process may be efficiently created and recorded.
“Mortgage delinquencies and the percentage of loans in foreclosure nationwide are currently at a 29-year high according to a recent estimate by the Mortgage Bankers Association,” said Randy Gilster, president of First American Loan Production Solutions. “First American is bringing a single, complete loan modification cycle solution to servicers that will enable them to meet their bulging workloads by working out as many loans as possible.”
The unique solution enables servicers to proactively monitor their portfolio and pinpoint loans that are at-risk of foreclosure so preemptive loss mitigation steps can be taken. Identified loans are monitored, analyzed and then slotted into alternative qualifying programs, such as a reverse mortgage or refinance. Servicers are able to choose the end-to-end solution or select individual components such as at-risk alerts, agency and proprietary documents, vetting and prioritization of borrowers for different programs, e-presentation and signing and recording.
The solution is available to Hope Now, an alliance of various mortgage market groups that aid distressed homeowners, which estimates that of the 718,000 subprime adjustable-rate mortgage (ARM) loans scheduled to reset between January and May 2008, only 5.3 percent have been modified. “Meanwhile, additional borrowers are falling behind as a result of ARM resets, declining home values and rising energy costs,” said Gilster. “Servicers need assistance immediately and our reliable and compliant outsourced solutions can help them mitigate losses and help homeowners stay in their homes.”
About First American Loan Production Solutions
First American Loan Production Solutions is the nation's leading provider of loan document services and outsourced loan fulfillment. By combining flexible e-business technologies and customized regulatory compliance, LPS serves small and large originators alike. First American’s document preparation services are developed and designed to integrate all affected parties in the closing document process. By bringing expert legal counsel, exhaustive technological checks and balances, and experienced, up-to-date support together in a single source, First American delivers unmatched due diligence to ensure complete integrity at every step. More information about the company can be found at www.loanproductionsolutions.com.
About First American
The First American Corporation (NYSE: FAF) is a FORTUNE 500® company that traces its history to 1889. With revenues of approximately $8.2 billion in 2007, it is America’s largest provider of business information. First American combines advanced analytics with its vast data resources to supply businesses and consumers with valuable information products to support the major economic events of people’s lives, such as getting a job, renting an apartment, buying a car or house, securing a mortgage and opening or buying a business. The First American Family of Companies, many of which command leading market share positions in their respective industries, operate within five primary business segments, including: Title Insurance and Services, Specialty Insurance, Information and Outsourcing Solutions, Data and Analytic Solutions, and Risk Mitigation and Business Solutions. More information about the company and an archive of its press releases can be found at www.firstam.com.