When it launched a year-and-a-half ago, Day 1 Certainty promised to offer mortgage lenders more confidence and help save borrowers time in their loan application.
This morning, following the Fannie Mae first quarter results, CEO Timothy Mayopoulos provided an update on the program’s progress for mortgage lenders.
“When we launched Day 1 Certainty, we viewed it as a journey,” he told HousingWire’s LendingLife community this morning, “We didn’t expect [it] to become universally adopted, but rather adopted overtime.”
Day 1 Certainty promises mortgage lenders (Fannie Mae customers) the following:
- Provides Fannie Mae customers with tools to reduce risk and improve the experience they provide to borrowers in the primary market. DU validation services give lenders certainty on Day 1 that they will receive freedom from representations and warranties for income, assets, and employment information validated through DU.
- Validates the loan application data up-front and gives lenders faster and easier verification of key loan data components.
- Gives lenders the ability to offer their borrowers a dramatically better mortgage experience. Borrowers will be able to save time by using electronic data versus collecting documents such as paystubs, bank statements, and investment account statements.
Mayopoulos said the list of lending partners and third-party vendor-partners will continue to grow as people in the mortgage lending business continually adapt to an increasingly tech-savvy environment.
“Lenders who figure out how to make changes, lenders who embrace this most vigorously, and this varies from lender to lender, will eventually benefit by reducing time for the borrower, reducing their expense and produce more completion in the market,” he said