Freddie Mac's Loan Prospector Service Reviews 9.5 Million Mortgage Loans In 2003
February 4, 2004
McLean, VA ? In a record year of more than $3.7 trillion in originations for the entire mortgage industry, Freddie Mac's Loan Prospector ® service assessed a record 9.5 million individual mortgage loans in 2003, 1.3 million more than in 2002.
"It's no surprise that technology, including automated underwriting, enabled the industry to handle record mortgage volumes," said Marcia Davies, vice president of Product Marketing and Communications for Freddie Mac. "The industry originated three times the volume during the 2001-2003 refinancing boom than it did during the refi boom of the early 1990s."
The use of Loan Prospector by lenders has steadily increased since the product's launch in 1995. Since its inception in 1995, Loan Prospector has assessed more than 35 million individual mortgage loans.
Loan Prospector reviewed 38,248 loans in 1995; 203,424 in 1996; 528,809 in 1997; 2.07 million in 1998; 3.03 million in 1999; 3.80 million in 2000; 7.38 million in 2001; 8.2 million in 2002 and 9.5 million loans in 2003.
Freddie Mac enables the primary mortgage market to have broad, easy access to low-cost financing for home loans. Freddie Mac's automated underwriting service contains statistical models that consider a borrower's credit, capacity and collateral, and provides quick assessments to loan originators based on the historical performance of home loans with similar characteristics. In a typical transaction, a lender or broker enters credit, loan and property information into a computer or website linked to the Loan Prospector service. The automated underwriting service assesses the data, and returns a Freddie Mac purchase decision to the lender or broker for their use in making an underwriting decision.
Soure: Freddie Mac