www.creditlenders.com 800.624.3303 3rd Quarter, 2004

DESKTOP VALUATION TOOLSGAIN MOMENTUMJune 8, 2004 (Excerpts)RETI News Bulletin

During the recent October Research Corporation eRadioprogram AVM Nation, expert panelists agreed that gapproducts, like appraiser assisted automated valuation modelsor desktop appraisals, were solid products that filled a need butwere not enjoying a lot of acceptance in the marketplace. Butrecently, Cherry Hill, N.J.-based Credit Lenders Service Agency,Inc. announced that it was rolling out its appraiser assistedvaluation model, simply called the AAVM, to a broader market.Cheryle Randolph-Sharpe, vice president for the company, saidthe firm has been offering gap products for about 10 years now,but has recently noted a steep rise in demand for them.

"When we started-and then it was just a down and dirtydesktop report that we did for a client about 10 years ago-itprobably represented less than 10 percent of what we weredoing, overall. Now, this product, in some form or another,probably represents about 35 percent of what we're doing."

The company offers a range of products between an AVM,which it resells from a number of developers, up to the newAAVM, which it calls its premiere product. Randolph-Sharpesaid the product differs from what some other vendors arecalling an AAVM.

"(It's not just) an appraiser being part of reviewing an AVM,"she said. "Our product is a little bit different. We start with rawdata from proprietary data banks. We begin by defining thesubject property. That's either done through public recordinformation or we conduct an interview with the homeowner tofind out exactly what's in their property and about any updatesor upgrades they've done on the property. We take thatinformation and begin our research."

Randolph-Sharpe manages an internal staff of real estate appraisers that takes that data and provides an opinion of the property's value. "It's not justdata coming out where you're not sure whether the comps are just in the same ZIP code. We have towns here were the same ZIP code runs for five or sixtowns and none of those towns is similar to the next. If you're not aware of these areas, then you wouldn't know if you were picking comps that were trulyfrom the same town."

While it is probably true that some other providers of gap products process their orders in methods similar to that described by Randolph-Sharpe, mosthave not reported lender adoption at the same high level.

"Here, we find that a lot of lenders we're working with have changed their lending criteria. They're definitely looking at ways to cut costs in a verycompetitive market. So they are embracing these products," Randolph-Sharpe said. "But they are not wholeheartedly AVMs. They still want someonelooking at it who understands what they are looking at. Just having that instinct that when you pull the comps you know that something just isn't right.And it really takes a trained eye to do that."

Pictured left to rightTom Swider (CEO & President of Credit Lenders Appraisal Services), Anne Greenfield (StaffAppraiser), Ben Brent (Desktop Interviewer), Sonja Cortes (Teamleader), Lashara Collins (CustomerService Rep.), Cheryle Randolph-Sharpe (Vice President/Manager), Glorice Bervine (QualityAssurance), Patricia Rivers (Data Base Researcher), and Paul Allison (Senior Review Appraiser).

Cheryle Randolph-Sharpe is Vice President and Manager of CreditLenders Appraisal Services. Cheryle is responsible for the dailymanagement of the appraisal department and the independent appraisalroster. Cheryle's area is responsible for appraisal review, qualityassurance, appraisal recruitment, and the department's processing of 5desktop reports. In addition to managing the area, Cheryle is alsoinvolved in new product development, is editor of the "Eyes and Ears"Newsletter, public speaking and training. She will have been with thecompany 15 years in August.

EMPLOYEE SPOTLIGHT

CHERYLE RANDOLPH-SHARPE, SLREA

SERVICE WITH A SMILE

By Anthony O. KellumMortgage Press(Excerpts)

In a land far, far away, human beings once answeredtelephones. Journey back with me to the gloriousantiquity of "Hello…How may I help you?" I canremember not long ago when pleasant, living voiceswere willing and able to help me. But to my dismay,service with a smile has gone the way of the eight-track,and service via automated systems more adequatelydescribes the current state of affairs. From automotiveindustry robotics and automated underwriting, to the if-you'd-like-to-speak-with-an-operator-please-press-ninecommand that we all know so well, I lament the loss ofour responsibility as professionals to serve and invest inone another.

In the business community, I believe that we are in everysense our brother's keeper. Whether we acknowledge itor not, we are all inexorably entwined in the cycle ofgiving and receiving service. As we oscilate frombusiness owner to consumer, that which we sow into thelives of others, we will inevitably reap. As joints neatlyfitted together-presiding chairman and parcel deliverer;broker/owners and patrons-we form a unified body. Ourcollective well-being remains in peril, due to a growingnegligence, and taking goodness and business forgranted.

The United States has rested in the comfort ofundisputed global dominance for far too long. Asproducts of our environment, we have adopted a cultureof arrogance founded upon self-gratification. Today,each of us bears the scars of corrupt corporateleadership, which robbed from within to serve personalgain. Idle employees without purpose or vision abhorpride in their performance, and unless we shakeourselves from this slumber, we are in danger of losingthe soul of that which made America great.

The evidence is mounting: from sub-standardmanufactured products to service providers that caremore about their wallets than their clients, too often ourhaughtiness becomes the root of our own demise.Maximizing our potential for greatness means nevertaking success for granted. As we categorize people andtasks as important, unimportant, noteworthy orirrelevant, we must acknowledge that everyone whowalks through our door is a valuable opportunity. Andevery business task we undertake is a broadcaststatement of who we are.

As mortgage professionals, we have enjoyed arefinancing boom, new heights for home buyers, and

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record-low interest rates. In spite of changing trends,war and industry reform, we must remember to rageagainst the mediocrity of the light.

I embody a simultaneous existence as business ownerand consumer. In both parallel realities, I perpetuallywage war against the cancer of apathy from within andwithout. I fight against the subtle disregard of theentitled employee who lives by the creed of "Sorry, that'snot my job." Daily, I confront apathy in public service,which is better described as sub-par service.

Complacency is a luxury that we never could afford. Wemust live in the reality that it's always our job to reachbeyond the minimum. It's always our job to strivebeyond the expectations of our customers and the tasksassigned by employers.

As we struggle to survive industry reform, success isonly promised when we wholeheartedly strive to achievethe extraordinary. That which we do not properly use,we are destined to abuse and subsequently lose-from thedeath of our corporate integrity, to the loss of ouremployees and our livelihood. On our winding road tosuccess, never forget whatsoever your hands find todo…do it with your might.

As we continually export the treasure of "Made inAmerica," as mortgage brokers, we are still entrustedwith the treasure of human contact. In the bygone daysof contracts bound by handshake and your word as yourbond, there was a profound simplicity in honor. As weface tomorrow and the new borrowers it brings, let usfight to not squander our credibility.

With the privilege of being mortgage professionals, it isnever too late for us to cherish the last remnants of thehuman touch. "How may I help you?" is question thatcan answer in living color-and work to live up to.

What should you be looking for as an indication of potential fraud or"red flags". Red flags were developed to assist you in identifying anddetecting fraud with regard to Social Security numbers.

Red flags associated with Social Security numbers are as follows:

a) Three or more leading zeros.b) Zeros in both positions four and five.c) Ending in four zeros.d) Leading numbers of 73-79.e) A leading number of eight.f) A leading number of nine is suspect. Very few Social Security

cards were issued with the leading number of nine, and those thatwere issued are special cases.

g) The borrow is using additional Social Security number(s).

EMPFacts for all your identify verification needs

INVALID SOCIAL SECURITY NUMBERS

Every company talks teamwork, but few actually practice it.

Q: Why is teamwork important?Adubato: Unless you're a computer whiz, a natural-bornartist or Tiger Woods, you need a team to succeed. Themajority of what we achieve is the product of working on ateam. It's the nature of work. We become stronger byconnecting with other people in a team-related situation.

Q: How do you learn teamwork if you've gotten toadulthood without those skills?Adubato: There are lots of people in a professionalsituation with whom you would rather not operate becausethey have poor people skills, which is another of sayingthey don't work well in teams. A lot of people never learnit, and they're clueless about why they're not succeeding inthe workplace. The key to great teamwork is ultimately tobe a great communicator. That means being someone whois a great listener, is empathic, is a good conversationalist,is open to new ideas, has the ability to facilitate a dialogueand run a meeting. Those people work well in teams.

Q: It's been said that women are at a disadvantage inbusiness in that they don't have as much experienceplaying team sports. Is that true?Adubato: That's less true than ever before. Women areactually better at teamwork than men because their egosare often less involved. Male egos often stop them fromworking with other people.

Q: Some people think they're great team players, but arejust the opposite. How do you handle a non-team player. Adubato: Bill Parcells, the former head coach of the Giantsand Jets, was asked the same question about a particularplayer. Parcellis answered that he gets him off the team asquickly as possible. That may work in professional football,but it's a lot harder in the work place. If you can't get rid ofa person, you had better make the effort to coach andmentor the person, so he or she realizes that personalactions impact on the larger operations. Sometimes ittakes an executive coach or a consultant - an outsider - toprovide an objective perspective of the situation. That'swhy the executive coaching business is going through theroof.

Q: What's the first thing a leader should do to establish ateam?Adubato: Establish a goal that every team member can buyinto, and then create an environment that is conducive toopen communication and honest feedback.

The integrity of your lien position is dependent uponaccurate and timely recording of mortgage documentssuch as mortgages, deeds of trust, and assignments.

With over 3,600 recording jurisdictions, just getting it to theright jurisdiction, in the required format, with the correctrecording fees can be overwhelming.

Credit Lenders mortgage professionals are here to help.Our staff will ensure timely and accurate preparation andrecording of your mortgage documents to maintain theintegrity of the lender's lien position, as well as help thelender to avoid any penalties.

Our services include:

Portfolio ReviewReview of loan files to identify any missing documentation.If so, the following can be provided:

Is the file missing the original mortgage?

True Certified Copy of MortgageCredit Lenders can obtain a true certified copy of themortgage from the prospective courthouse records withmortgage information provided by you.

Is the file missing the necessary mortgage information?

Mortgage SearchCredit Lenders can provide a mortgage search to identifymortgage information needed then proceed with obtaininga true certified copy of the mortgage.

Is the original mortgage recorded/assigned/satisfied?

Document RecordingCredit Lenders can perform any document recordingrequirement.

We utilize a sophisticated tracking system to ensure timelyand accurate recording of your mortgage documents.Credit Lenders can help you achieve your portfoliotransfers quickly and efficiently. Our national countydatabase is updated daily to maintain current informationrelating to:

applicable fees for each document

average recording time frame per jurisdiction

notary and signature requirements3

With Teamwork EveryoneComes Out A Winner

Lender & Loan Servicing Compliance Solutions

Document Preparation and Recording

By Daryl Wizelman(Excerpts)

As with many other businesses today, thekey to the success of any mortgage lenderstems from the quality of employees thatare hired. This especially holds true withloan originators those on the front line,working directly with customers. But thesedays, how do you build and maintain thebest team possible for company growth?

With the evolution of technology in themortgage industry, it's easy to lose sight ofthe importance of high-quality loanoriginators and employees. Granted,technology does make office matters moreefficient, but it will only support youroriginator's efforts not replace what a top-notch loan originator can offer.

Effective Recruiting StrategiesKeep in mind, fierce competition amonglenders is making it more difficult to recruitand retain high-quality loan originators.When a reputable loan originator looks tomake a job change in the industry, thereare plenty of suitors knocking at their door.However, anyone can (and will) throwmoney at them to bring them aboard.Below, we'll explore some other strategiesto put your company on top of thecandidate's list.

Sell Your CompanyExperienced loan originators look for ahigh degree of support from lenders, soemphasize what you have to offer. Some ofthese services include loan opening,processing, underwriting, secondary

marketing, loan document preparation orfunding, and many of these services can befound in each branch office. Decentralizingthe loan process is a big key to attractingand retaining loan originators.It can be difficult to convey every positiveattribute of your company in one interview,so it is beneficial to invite any potentialcandidates back to meet and interviewother loan originators, staff members andmanagers. This will allow them access tofirst-hand experience and insight into howyour company is managed.

Highlight the Products YouOfferWhether conventional or sub-primemarkets, present in detail what productsyour company has to offer, and explainhow new recruits are educated andencouraged to excel.

Reputation, Reputation,ReputationFor the most part, recruiting is based uponthe quality and quantity of the current staff,and the product and pricing provided. Butdon't overlook reputation. Assess thereputation your company has in the brokercommunity a large portion of it hinges onyour current loan originator's andemployees job satisfaction.

But in the end, it also comes down tolikeability, or the age-old question, "Doesthe candidate like me?" If so, you are thatmuch closer to bringing them on board.

4NOTE: This Newsletter is designed to provide general information regarding matters of interest to our readers.

It is not intended, and should not be relied upon for specific issues.

HOW TO RECRUIT AND RETAIN THE BEST ORIGINATORS

Retaining the SuperstarsOnce you've recruited your candidate ofchoice, you must follow through on youroriginal promises and build trust in orderto retain them. In my experience, these arethe most critical ingredients in loan officerretention:

1. Honesty, Integrity and LoyaltyAt United Pacific Mortgage, we expect ourloan originator's to be responsive,knowledgeable and caring when it comesto dealing with clients. Thus seniormanagement must also exhibit theseattributes towards every employee.Particularly, loan originators perform attheir best after they've built strongrelationships, whether with customers, realestate agents, loan processing staff ormanagers.

2. Accessibility to Management andResourcesManagers and executives must beapproachable and accessible, bothphysically and personally. Schedule regularstaff meetings and make certain that alllines of communication are open, in orderto encourage trust and an ongoingexchange of ideas. A well-maintained Website, e-mail channels and Intranet withonline forms, flyers and other valuableinformation, provide convenience andassure loan originators that they are "in theloop," and can quickly find what they need,when they need it.

3. Team EnvironmentMake sure that you clearly communicateyour mission statement and vision for thefuture. This is important for recruitmentand retention efforts. Any quality loan

originator will want and need to know howthey are expected to support thesecompany objectives. Individuals workharder and more efficiently as a team wheneveryone understands and accepts thecompany's mission.

4. TrainingKeep updated with the ever-changingmortgage industry by providing ongoingtraining and coaching for loan originators.Maintain an open dialogue to ensure you'remeeting their training needs.

5. RecognitionOnce again, recognition is extremelyimportant. It requires more than an annualbanquet or an occasional memo. If youdon't already have one, create acomprehensive recognition plan and carryit out consistently perhaps you can offer avacation to reward top-producing loanoriginators each year, or maybe caninstitute a benefits program for those whoreach certain goals. Whatever the endresult, make sure you don't overlook theday-to-day recognition that's so importantfor retaining and encouraging top-notchstaff. Take that extra step to acknowledgeoutstanding performance when you see it,whether it's a simple phone call, quick e-mail or verbal recognition.

You can automate the loan process asmuch as possible, but without a solid teamof loan originators, you cannot expect tosee your company grow and flourish.Employing the strategies I mentionedabove will help put you on the road torecruiting and retaining high-quality loanoriginators.

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Credit Lenders Appraisal Services, Inc. for all your appraisal needs. For additional information contact our sales team at 1-800-624-3303, ext. 1212or visit our website at www.creditlenders.com.

9000 Commerce ParkwaySuite AMt. Laurel, New Jersey 08054

PRESORTEDSTANDARD

U.S. POSTAGE PAIDCHERRY HILL, NJPERMIT NO. 286

Congratulations On Your RetirementJoe Grabowski

Joe Grabowski, a long time customer andgood friend, recently retired after an

extensive and rewarding 40 year career inthe Consumer Banking industry.

Good luck Joe!!!

Joe intends to remain active in theConsumer Credit field with various personalconsulting and contractual engagements and

continued service on the New JerseyCoalition for Financial Education.

He can be reached at 973-316-0740 orJLGrabowski@aol.com.

Pictured: Left: Joe Grabowski; Right Tom Swider.