Carrington Mortgage Services, LLC (CMS) is pleased to announce, effective May 3, 2021 the Correspondent Channel will introduce delegated correspondent lending. In delegated correspondent transactions, the delegated correspondent seller originates the loan, underwrites, closes, and funds the loan in their name and then sells the completed loan to CMS. This allows the correspondent seller more flexibility to close loans faster, which benefits borrowers, correspondent sellers and CMS.
New Delegated Correspondent Process
Effective for all delegated correspondent loans submitted on and after May 3, 2021, CMS will complete the following process to review and purchase closed correspondent loans:
- The delegated correspondent seller registers the loan in CorrIQ and uploads the submission package;
- The CMS Submission Specialist reviews the submission package and accepts or rejects the submission;
- The CMS Submission Specialist obtains additional documents and conditions as needed to complete the submission package;
- The CMS Underwriter reviews the file for accuracy to validate the Credit, Income, and Assets as well as orders the total quality loan (TQL) fraud report;
- The CMS Purchaser reviews the closing package, compliance and orders Mavent. The Purchaser also obtains any outstanding conditions and once the conditions have been satisfied, CMS will purchase the loan; and
- Upon purchase, a post-purchase QC audit is performed, CMS Post-Close completes a loan delivery audit and CMS Records Management ensures all trailing documents and conditions are obtained to complete the collateral package.