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Posts Tagged ‘Triad Financial Services’

About Missing Passage of Preserving Access

December 16th, 2015 No comments

The word is out.  The MHI backed bill won’t be included in the omnibus appropriations package that will be passed soon. My view is that the Preserving Access  bill never had a prayer anyway, as President Obama would have vetoed it, as he has made it clear that he won’t allow ANY changes to Dodd-Frank.  That shows just how disconnected he and his administration are from the real world. Getting Congress to add it to the appropriations bill would have been nice window-dressing, but it was otherwise never going to see the light of day.

Personally, I am not surprised by FHFA excluding chattel. The GSEs clearly never wanted to do chattel loans, and even if they added chattel, I believe they would make it so restrictive that it wouldn’t amount to much volume. The industry wanted FHA Title I chattel opened back up several years ago, and when it finally did get reopened, it wasn’t much of a program and is barely used. IF the FHFA allows chattel, my prediction is it will end up like the FHA Title I program with limited use and limited benefit to the industry. 

On a side note, I have seen articles written about ‘back room’ meetings with finance company and industry leaders occurring with the FHFA. As the leader of the second largest lender in the industry, I have not been given any briefing about this if it happened, and I certainly wasn’t invited if the meetings did take place. But then again, I have not been consulted by anyone at MHI for several years on anything, so maybe I’m just out of the loop. 

And once again, I will state that not having MHI and MHARR working together on issues like these is a travesty, and the lack of a unified voice makes it easy for the bureaucrats in DC to turn their back on us. 

Why we can’t pool our efforts and resources and present a cohesive and defensible plan on no-brainer issues like these that benefit the ENTIRE industry is beyond me. 

DonGlissonJrCEOTriadFinancial-postedIndustryVoicesMHProNews-Don Glisson Jr.
Chief Executive Officer
Triad Financial Services, Inc.
4336 Pablo Oaks Court
Jacksonville, FL. 32224

 

(Editor’s Note: Extensive commentary on these issues is found in the interview, Another Cup of Coffee with...Don Glisson, Jr., linked here.)

Most Manufactured Home Lenders Facing Major Changes Revenue Cliff for Some; Business As Usual for Others

October 10th, 2013 No comments

Wall Street calls this a “revenue cliff.” A sudden drop in cash flow. Dodd-Frank regulations that are set to take effect in mid-January 2014 will result in major changes in guidelines for most of our industry’s major Manufactured Home (MH) personal property lenders.

Among the non-captive lenders, the hardest hit will likely be 21st Mortgage Corp. This lender is expecting a decline of up to 47% in loan volume.

MH Retailers who rely on 21st Mortgage should brace for a sudden revenue loss of 50% – 75% including overall loan volume and an adjustment in origination fees.

This will be devastating for many.

An informal survey of our four credit facilities who primarily bankroll the MH chattel financing aide of the MH industry has revealed major changes expected by most, and business as usual for one lender.

Our lender headquartered in San Antonio, CU Factory Built, is at present reviewing their loan products and origination fee policies. Committees have been assembled, reviewing the new regulations and their guidelines.

Informed industry sources tell MHProNews, who advised us, that CU’s very popular “Step Rate” loan product will likely remain intact, surviving the new regulations.

However, this lender’s origination fee schedule could be cut by up to 50%, more closely resembling the origination fee guidelines of their competitor, Triad Financial Services. The final outcome is yet to be determined.

Thus MH reatailers and loan officers who rely upon CU as their primary lender need to brace for a “revenue cliff.”

Our office has learned that Triad, based in Jacksonville, FL, is expecting “business as usual.” Apparently their loan products and origination fee guidelines have been in compliance with the expected changes in regulations.

Our industry’s other major lender, US Bank, with their regional office based in San Diego, is being very tight-lipped about any changes. Their spokesperson recently declined to comment to us.

The anticipated changes in loan products and origination fees will impact everyone in the MH industry. As loan brokers, quite a few of our employees will be devastated.

Analyzing the changes at this juncture is like shooting a bullet at a speeding train. The best advice we can give you is to dig in and redouble your efforts in support of HR 1779 and related.

If each of us contacts our Congressional Representative and two U.S. Senators in favor of HR 1779 and its planned companion bill, there is still time to avoid this fiscal/financial cliff our retailers and communities who sell are heading towards. ##

dave-shanklin-mhmsm-com.jpegDave Shanklin
Loan Consultant
Empire Homes, Inc.
Santa Rosa, CA
800 – 401 – 3372
NMLS ID # 314463

(Editor's Note: All views expressed on MHProNews are those of the author, and may or may not represent those of publisher or our sponsors. We recommend that you contact the representatives of the lenders you work with and see for yourself what they expect. Take Action! You may also find this related article of interest.)

A stunning tip by and about a manufactured housing industry chattel lender

August 21st, 2011 No comments

It sounds like Triad Financial Services is making its biggest single-day rate cut in that company’s 50-year history. A reduction of .75% for all categories of loan products for MH’s in parks to take effect immediately, according to a TFS insider. Rate sheets will be out soon reflecting this new change.

This news came out barely two weeks after our industry’s other lender, CU Factory Built, rolled out its new “step-up” loan with very low rates starting at 4.5%.

This is a typical reaction among our MH chattel lenders who are competing for top-tier borrowers (which means borrowers with 700+ credit scores). Without having seen rate sheets, it cannot yet be confirmed if this rate reduction from Triad will affect all tiers of their loan products. However, the source for this story did indicate that the .75% reduction will be “across the board”.

We now have very attractive rates to offer to manufactured home buyers moving into parks. Four years ago, the “floor rate” with our biggest lender was at 10.5%. We can now potentially offer rates less than half what they used to be.

After years of sour news, this is something that should be told to all buyers of manufactured homes in parks. Check back frequently for the latest in this “rate war”.

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Submitted by
Dave Shanklin
NMLS # 314463