1. Warehouse Lending in Today's Changing Market
Presented by Stanley M. Street
Consulting. Technology. Information.
Expertise for Warehouse Lenders

2. Warehouse Lending in Today's Changing Market
Emerging from Chaos
At no time in the history of mortgage banker finance has the industry seen such an upheaval in the supply of warehouse funds or such a radical change in interim mortgage financing terms and conditions.

3. Warehouse Lending in Today's Changing Market
Emerging from Chaos
Continued Shrinking of the Warehouse Marketplace
25% Fewer Suppliers
40% Decline in Commitments
44% Decline in Balances Outstanding

4. Warehouse Lending in Today's Changing Market
Emerging from Chaos
Tremendous Redistribution of Warehouse Customers
Elimination of Single Large Lender Lines
Multiple Mid-Tier Lender Replacement Lines

5. Warehouse Lending in Today's Changing Market
Emerging from Chaos
Severe Adjustment in the Overall Business Model
Company Approval and Renewal Process
Risk Management Requirements
Guidelines and Conditions
Haircut Percentages
Risk-Based Pricing

6. Warehouse Lending in Today's Changing Market
Emerging from Chaos
Continued Worries About Covenant Compliance
Increased Investor Repurchase and Delivery Risk
Falling Secondary Marketing Profits
Reliable Collateral Valuation
Regulatory Involvement

7. Critical Continuity of Funds
Warehouse Lending in Today's Changing Market
Critical Continuity of Funds
Access to reliable mortgage warehouse financing from multiple suppliers is critical for both survival and success. "No cash, no credit, no business" is still a valid mortgage banking mantra - warehouse lines are a necessity of the secondary market process.

8. Warehouse Lending Trends
Warehouse Lending in Today's Changing Market
Warehouse Lending Trends
Embracing Newer Technologies
eMortgage Capable
Real-Time Processing and Communication
Integrated Validation and Risk Management Services
Access to Key Analytical Originator and Investor Data

9. Warehouse Lending Trends
Warehouse Lending in Today's Changing Market
Warehouse Lending Trends
Re-Engineering Business Processes
Electronic Workflow
Increased Efficiencies
Improved Business Intelligence
Automated Decision Trigger Points

10. Warehouse Lending Trends
Warehouse Lending in Today's Changing Market
Warehouse Lending Trends
Reverting to Rational Pricing
Adapting to New Pricing Models
Fees
Interest Rates
Risk Based Pricing
Portfolio Product Mix

11. Warehouse Lending Trends
Warehouse Lending in Today's Changing Market
Warehouse Lending Trends
Standardizing Business Practices
Warehouse Information Networksm Uniformity
eMortgage Dataflow and Funding Process

12. Your Most Important Strategic Relationship
Warehouse Lending in Today's Changing Market
Your Most Important Strategic Relationship
Avoid irrational pricing and burdensome operational changes that compensate for legacy portfolio problems
Align with future-oriented, multi-service warehouse providers that adopt innovative technologies
Monitor financial strength and management commitment to warehouse lending as an ongoing business unit

13. Thank You! Stanley M. Street sstreet@streetresource.com 770-390-3000
Warehouse Lending in Today's Changing Market
Thank You!
Stanley M. Street
Expertise for Mortgage Warehouse Lenders