SAN DIEGO, Calif., May. 20, 2021 (SEND2PRESS NEWSWIRE) – Mortgage Capital Trading, Inc. (MCT®), a leading mortgage coverage advisory and secondary marketing software company, has announced the public introduction of BAM Marketplace ™. Originally launched to support existing MCT sellers during the pandemic liquidity crisis of 2020, BAM Marketplace now welcomes new buyers and sellers as the world’s first truly open loan exchange between unapproved counterparties.
At the start of the pandemic, investors bought fewer loans and sellers encountered liquidity issues, especially for specific loan characteristics such as low government FICOs. BAM Marketplace has matched distressed sellers with potential buyers, in particular agency-approved lenders within MCT’s clientele, some with no prior corresponding investment experience. The ability to trade with unapproved counterparties, combined with automated API-based live pricing, allowed these new buyers to provide a high-level correspondent experience and quickly build a seller base. Today, BAM Marketplace offers quantifiable benefits to lenders of all sizes for loans of all types.
Sellers benefit by reducing liquidity constraints, developing market opportunities for investors and increasing the profitability of loan sales. MCT clients have seen significant improvement in execution for all types of loans. The average spread to cover offers on BAM Marketplace is thirty-two basis points, with this spread extending to forty-six basis points for government production and eighty-nine basis points for low government loans. FICO. Sellers are also finding new outlets for loans to non-homeowners and second homes – a key area of interest given the new agency’s limitations on such production.
“Gone are the days of a finite set of approved investors, not knowing who has an ax, and incomplete information on who can offer the best price. BAM Marketplace targets systemic issues of limited liquidity and slower pricing times and also helps minimize a lender’s exposure to crises and regulatory changes, ”said Curtis Richins, president of MCT. “This is the only loan exchange where sellers can receive executable offers from unapproved buyers. With our patent pending “Safety Spread Commitment”, MCT firmly maintains its position as the gold standard for best execution and moves closer to the ultimate goal – when every loan can be valued by every investor. “
Buyers benefit from BAM Marketplace through efficient access to the industry’s largest seller community and the ability to bid on loans offered by unapproved lenders. Agency-approved lenders can now find unique buying opportunities, even without the prior experience or cost calculations typically associated with launching a corresponding lending channel. MCT’s AutoBidTM auction tape-based pricing solution supports every BAM Marketplace buyer, enabling them to provide automated, algorithm-based live pricing that can be tailored to each seller and every feature of the market. ready.
“By expanding the Bid Auction Manager (BAM) platform, MCT has unlocked additional cash and created a turnkey digital purchasing solution,” said Phil Rasori, COO of MCT. “The exclusive patent-pending functionality allows immediate access to ‘bidding’ loan guarantees offered by MCT’s customer base, the largest in the industry.”
For MCT customers, BAM Marketplace is part of our main offering with no additional cost or configuration required. It is also available as a standalone platform for non-customers.
Founded in 2001, Mortgage Capital Trading, Inc. (MCT) has grown from a boutique mortgage pipeline hedging company to a leading provider of fully integrated technology and services in the capital markets. MCT offers a range of industry-leading services and software covering mortgage pipeline coverage, best execution loan sales, outsourced lock desk solutions, MSR portfolio valuations, business intelligence analysis , mark-to-market valuation services and a comprehensive award-winning capital markets platform software called MCTlive!
MCT supports independent mortgage bankers, custodians, credit unions, warehouse lenders and correspondent investors of all sizes. Based in San Diego, California, MCT also has offices in Philadelphia, Healdsburg and Texas. MCT is well known for its team of financial market experts and senior traders who continue to deliver the hands-on, boutique-style engagement that clients love.
Caption: BAM Marketplace ™ is the world’s first truly open lending exchange, where buyers can bid regardless of approval status, and sellers automatically receive live prices from every buyer on the platform.
NEWS SOURCE: Mortgage Capital Trading Inc.
This press release was issued on behalf of the news source (Mortgage Capital Trading Inc.) who is solely responsible for its accuracy, by Send2Press® Newswire. The information is believed to be accurate but not guaranteed. Story ID: 71986 APDF-R8.2
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