ICE Mortgage Technology’s Solutions for Correspondent and Wholesale Demonstrate Significant ROI in Third Party Origination Channels

Rhea-AI Summary

ICE Mortgage Technology has released an ROI study demonstrating the significant benefits of its Encompass® and Encompass TPO Connect® solutions for correspondent and wholesale lenders. The study reveals that these platforms can deliver a 10.8X annual return for correspondent lenders and significant time savings for wholesale lenders. With a 28% increase in operational leverage and reduced average loan costs of at least $575, these tools enhance efficiency, compliance, and profitability. The findings emphasize the importance of digitization in the mortgage industry.

Positive

• ROI study shows 10.8X annual return for correspondent lenders.
• Wholesale lenders save 209 minutes per loan and achieve two-day faster funding.
• Operational leverage increased by 28%.
• Average loan costs reduced by at least $575.

Negative

• None.

Study Quantifies Value of Encompass® and Encompass TPO Connect® Portal for Correspondent and Wholesale Lenders

PLEASANTON, Calif.--(BUSINESS WIRE)-- ICE Mortgage Technology^TM, part of Intercontinental Exchange, Inc. (NYSE: ICE), a leading global provider of data, technology and market infrastructure, announced the results of a recent, independent return on investment (ROI) study that shows Encompass® and Encompass TPO Connect® deliver quantifiable results and value to correspondent and wholesale lenders who acquire third party originated loans using ICE Mortgage Technology solutions. Built on the ICE Mortgage Technology™ Platform, Encompass TPO Connect is a fully configurable web-based portal that allows wholesale and correspondent lenders to easily collaborate with their third-party originators (TPOs). Encompass, coupled with Encompass TPO Connect, demonstrates the efficiency and ease customers experience in acquiring and managing loans from correspondent lenders and wholesale brokers for faster results, maximum quality, compliance, and profitability on every loan.

“In both the correspondent and wholesale space, each individual in the ecosystem has historically exchanged documentation and information in a manual and analog environment - often requiring duplicative tasks, aggregating information from several sources and then manually reviewing loan files for accuracy and completion,” said Parvesh Sahi, Senior Vice President, Business and Client Development at ICE Mortgage Technology. “The ROI study proves Encompass and Encompass TPO Connect are a catalyst for correspondent and wholesale digitization by effectively demonstrating an ability to deliver significant ROI speed and scale while maintaining the quality to reduce risk and error.”

The ROI study shows how effectively ICE Mortgage Technology solutions enable correspondent and wholesale lenders to reduce cost, improve efficiency and scalability, and speed up funding - resulting in a 28% increase in operational leverage.

According to the study, correspondent lenders recognized a 10.8X annual return, citing automating purchase review, document management, package receipt and sync, and compliance reviews as leading time savers. Wholesale lenders experienced gains in broker/client management, data validation, and loan acquisition resulting in 209 minutes saved per loan plus two-day faster funding cycles. The results vary by segment, with both correspondent and wholesale lenders reducing their average loan costs by at least $575 per loan.

“As lenders prepare for shifts in the market, maximizing customer experience, scalability and profitability is key,” said Jordan Brown, CEO of MarketWise Advisors, LLC. who conducted the independent study. “The value is in knowing what areas of our business are the most time-consuming and costly and where we can improve margins and speed. This study breaks down where lenders are specifically gaining efficiencies and have opportunities for growth.”

The study is just a starting point and demonstrates the significant benefits of Encompass and Encompass TPO Connect as an easy to implement, turnkey solution. For those lenders implementing additional customization through APIs, the results are even more compelling. ICE Mortgage Technology and MarketWise Advisors, LLC. shared these findings in recent webinars with correspondent and wholesale lenders.

ICE Mortgage Technology combines technology, data and expertise to help automate the mortgage process, from customer engagement through loan registration, and every step and task in between. ICE Mortgage Technology is the leading cloud-based loan origination platform provider for the mortgage industry, with solutions that enable lenders to originate more loans, lower origination costs, and reduce the time to close, all while ensuring high levels of compliance, quality and efficiency. Visit icemortgagetechnology.com or call (877) 355-4362 to learn more.

About Intercontinental Exchange

Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds and operates digital networks to connect people to opportunity. We provide financial technology and data services across major asset classes that offer our customers access to mission-critical workflow tools that increase transparency and operational efficiencies. We operate exchanges, including the New York Stock Exchange, and clearing houses that help people invest, raise capital and manage risk across multiple asset classes. Our comprehensive fixed income data services and execution capabilities provide information, analytics and platforms that help our customers capitalize on opportunities and operate more efficiently. At ICE Mortgage Technology, we are transforming and digitizing the U.S. residential mortgage process, from consumer engagement through loan registration. Together, we transform, streamline and automate industries to connect our customers to opportunity.

Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located here. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE’s business that are not historical facts are “forward-looking statements” that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE’s Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE’s Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the SEC on February 4, 2021.

© 2021 ICE Mortgage Technology, Inc. All rights reserved. Encompass® and the ICE Mortgage Technology logo are trademarks of the entities of ICE Mortgage Technology, Inc.

Source: Intercontinental Exchange

ICE-CORP

View source version on businesswire.com: https://www.businesswire.com/news/home/20211019005316/en/

PRESS CONTACT

Jenny Gendron

ICE Mortgage Technology

(925) 227-3490

jenny.gendron@ice.com

ICE INVESTOR RELATIONS CONTACT

Mary Caroline O’Neal

marycaroline.oneal@ice.com

(770) 738 2151

investors@ice.com

Source: ICE Mortgage Technology

FAQ

What does the ROI study reveal about ICE Mortgage Technology's solutions?

The study indicates that Encompass® and Encompass TPO Connect® provide a 10.8X annual return for correspondent lenders and significant time savings for wholesale lenders.

How much can borrowers save per loan using ICE's platforms?

On average, borrowers can save at least $575 per loan when using these solutions.

What is the operational leverage increase reported in the study?

The study reports a 28% increase in operational leverage for users of ICE Mortgage Technology's solutions.

What are the time savings for wholesale lenders mentioned in the study?

Wholesale lenders experienced a time savings of 209 minutes per loan and faster funding cycles by two days.

What is the importance of digitization according to the ROI study?

The study emphasizes digitization as a catalyst for improving efficiency, compliance, and profitability in the mortgage industry.