MCT sat down with Rich Valentine, Senior Vice President of Pricing and Counterparty Risk at Freedom Mortgage, to talk about how his team buys, prices, and grows as a correspondent investor in the secondary market.
Freedom Mortgage has partnered with MCT for 13 years, and in July 2024 the team deepened that relationship as an enterprise-level MCT Investor Solutions client. Using MCT’s mortgage investor solutions and analytics, Freedom’s secondary desk increases its market share, streamlines its processes, and uncovers new opportunities through co-issue every day.
“As the market continues to evolve, we’re evolving with it. There’s an art and a science to it. The services that MCT provides are what we’re looking for. As long as we have this relationship, we’d love to grow it into the future.”
– Rich Valentine, Senior Vice President of Pricing and Counterparty Risk, Freedom Mortgage
Daily Market Color, Real Market Share
As an enterprise-level Investor Solutions client, Freedom Mortgage relies on MCT Marketplace® for a core part of its buy-side workflow.
It’s an out-of-the-box solution that drives efficiency and scale to the loan, MSR, and CRA acquisition process, and Rich’s team pulls its real-time market color daily to see where the market is trading. Alongside it, Investor Analytics helps the desk optimize pricing and build market share, and co-issue gives the team a channel to find new opportunities and win additional sellers.
With MCT Investor Solutions, Freedom Mortgage gains:
- Real-time market color in MCT Marketplace, used daily to see where the market is trading by note rate
- Efficiency and scale across the loan, MSR, and CRA acquisition process, with bulk bidding that streamlines the trade process and improves turn times
- Investor Analytics that optimize correspondent pricing while building market share at the aggregate, lender, and loan level
- Co-issue on MCT Marketplace that makes MSR price discovery more convenient, flexible, and transparent, and opens new opportunities to win sellers
- A 13-year MCT partnership, expanded to enterprise-level Investor Solutions in July 2024
“We’ve been working with MCT for as long as I’ve been at Freedom, for 13 years. It’s been great. One of the biggest analytic tools that we use from MCT is the Marketplace Color. It is something that we use on a daily basis.“
– Rich Valentine, Senior Vice President of Pricing and Counterparty Risk, Freedom Mortgage
Turning Investor Analytics Into New Opportunities
For Freedom Mortgage, the value of MCT Investor Solutions shows up in the daily work of pricing and buying loans. The desk pulls real-time market color to see where the market is trading by note rate, then uses Investor Analytics to slice and analyze that data and pinpoint the pricing needed to gain share. Co-issue rounds it out, giving the team a channel to find new opportunities and bring on additional sellers.
To price, analyze, and grow, Freedom Mortgage relies on:
- Investor Analytics – a proprietary historical database of best execution analysis and loan sales, featuring unique reporting and visualizations designed to optimize correspondent pricing while building market share at the aggregate, lender, and loan level. Freedom’s desk slices and dices by lender, region, and product to build the views it needs and find where prices should be to gain share.
- Co-Issue on MCT Marketplace – a more efficient way for any mortgage investor to buy co-issue, supporting buyers operating in either agency co-issue framework or buying MSR on a flow directly from MCT Marketplace sellers. With flow co-issue centralized in MCT Marketplace, MSR price discovery is more convenient, flexible, and transparent, and for Freedom, a source of new leads and clients.
“We have been able to find new opportunities with the co-issue portion. We were able to generate leads for our sales department to go out and offer some additional services.“
– Rich Valentine, Senior Vice President of Pricing and Counterparty Risk, Freedom Mortgage
Conclusion: A Buy-Side Partnership That Keeps Growing
By leaning on MCT’s mortgage investor solutions and analytics, Freedom Mortgage increases its market share, streamlines its process, and turns market data into daily decisions and new opportunities. Real-time market color and bulk bidding in MCT Marketplace, Investor Analytics for pricing and share, and co-issue for new business all work together on the largest U.S. residential loan trading exchange. What began 13 years ago has grown into an enterprise-level Investor Solutions engagement that continues to expand.
For Rich, the value comes down to the mix of capability and partnership.
Ready to increase your correspondent investor market share and streamline your processes? Schedule a demo to see how the same MCT Marketplace access, Investor Analytics, and co-issue Freedom Mortgage relies on can drive efficiency and market share for your buy-side business.
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