Page 1

So, interest rates are going up…

A rising interest rate environment or even the potential of a rise in interest

rates can feel like an insurmountable obstacle in the residential mortgage

sales market. Reality is, you have every reason for optimism. AFN has

provided you with the tools you need to maintain and invigorate the

growth of your business. However, you’ll need to educate and inform

your realtors and your customer base. Offer them a different perspective

than the one they might be getting from the media. Remember that news

outlets, bloggers and sites that offer advice but no product or service are

looking for clicks and will often run with fire and brimstone, doom and

gloom headlines to meet that end. What they sell is advertising, what

they posture for is traffic. You sell life-changing, long-term investments,

and you do it well! Be flexible enough to shift your vantage point with the

changing terrain and your success will follow right along.

Featured Article | 1

Welcome to AFN | 2

AFN Anniversaries | 3

Top Producers | 4

Top Processors | 5

Q4 Top Producers | 6

Branch Relations | 8

Underwriter's Angle | 10

Encompass Corner | 11

Fast Closing Snapshot | 14

Product Update | 15

AFN Props | 18

AFN Fan Corner | 20

Marketing Updates | 22

Social Media Status | 23

AFN Birthdays | 20

Compliance Matters | 26

Mastermind Summit | 27

contents

Edition 18-02 | Feb 2018

When the Going Gets Tough, Ask Yourself, “Is It Really?”by John Sherman, President

Continued on Page 12

February 2018

Page 2

Branch ManagersDana Ganci

Dustin Arp

Leroy Romero

Luis R Tipacti

Michael. Hammel

Virgil Tyler

Wyatt Arp

Loan Officers & SalesAbed Asghar, Loan Officer

Amanda Turner, Sales Manager

Amanda Wright, LO Assistant

Angel Lara-Leon, LO Assistant

Apryl Gentry, Loan Officer

Barbara Serra-Mannion, Loan Officer

Bridgett Fletcher, Production Mgr.

Carlos Diaz, LO Assistant

Chance Upchurch, Loan Officer

Charles Elswick, LO Assistant

Dane Zaza, LO Assistant

Deborah Healy, Loan Officer

Deborah Russell, Loan Officer

Derek Peters, Transitional LO

Dexter Baza Cajigal, Loan Officer

Duane Dougan, Transitional LO

Eloy Villamil Bravo, Production

Manager

Emmanuel Rodriguez, Transitional LO

Eva Fernandez, LO Assistant

Fernando Bastidas, Sales Manager

Fernando Pacheco, Sales Manager

Gabrielle Caldera, LO Assistant

Gemma Francisco, Transitional LO

Gerald Gagner, LO Assistant

Gustavo Molina, Transitional LO

Han Kim, Loan Officer

Janice Miller, Transitional LO

Jason Haynes, Loan Officer

Jeff Stanley, LO Assistant

Jimmy Barlow, Loan Officer

Joel Rhymes, Loan Officer

John Meltzer, Loan Officer

Jon Soydinc, Loan Officer

Joseph Miller, Transitional LO

Justin Priest, LO Assistant

Keith Ray, Business Dev. Asst.

Kelly Fest, Loan Officer

Kevin Wallace, LO Assistant

Kiana Hollis, Marketing Assistant

Lamar Hough, Sales Manager

Laura Torres, Loan Partner

Lindsey Wax, Loan Officer

Lisa Posta, Loan Officer

Luis Villa, Transitional LO

Maisha Williams, LO Assistant

Malana Loos, Business Dev. Asst.

Marco Sierra, Business Dev. Asst.

Marielle Kwiatek, Executive Assistant

Matthew Willson, Loan Officer

Melanie Montalvo, Loan Officer

Melissa Shah, Loan Officer

Miara Cahee, LO Assistant

Michael Curtis, Loan Officer

Michael Landix, Loan Partner

Michael Santoli, Transitional LO

Michelle Graziano, Executive Asst.

Nick Leabo, LO Assistant

Ornella Romanovski, Transitional LO

Perry Alexander, Loan Officer

Phyllis Zanichkowsky, Loan Officer

Preston Fox, Loan Officer

Reginald Riley Jr, Sales Manager

Ricky Phan, Loan Officer

Robert Rodriguez, Loan Officer

Sandra Rubin, Loan Officer

Scott Lentz, Recruiter/Branch Dev

Scott Murakami, Sales Manager

Silvia Perez, LO Assistant

Steven Blaine, Transitional LO

Tammerica Lynn, Loan Officer

Taylor Daniel, LO Assistant

Theodore Talbott, Loan Officer

Thomas Garvey, Loan Officer

Yaniv Offir, Sales Manager

We are always pleased to add to Team

AFN, and want to welcome the following

personnel, who joined us in January.welcomeWe’re so happy you are here!

We ask that you join us in wishing the following employees a very

Happy Anniversary in February. Congratulations, and thank you for your

dedication and contributions to our success!

Support and Corporate EmployeesAshley Clark, Jr. Processor

Barbara Petrella, Marketing Specialist

Brandon Gavins, Processing Manager

Ericka Rabe, Jr. Processor

Flor Guzman, Processor

Ikakyi Gonzalez, Underwriter

Jeffrey Welch, Encompass Admin.

Jessica Delgado, Closer/Doc Drawer

Joanne Mendoza, Sr. Processor

Jorge Vazquez, Doc Drawer

Joseph West, Jr. Processor

Kerrie Parker, Jr. Processor

Lakedra Wilson, Jr. Processor

Laurel Garvey, Sr. Underwriter

Liz Mendoza, Jr. Processor

Maria Perez, Processor

Mary Trujillo, Mktg Content Manager

Michelle Galvan, Jr. Processor

Nicole Burns, Processor

Noah Kim, Admin Assistant

Stephanie Courtois, Processor

Stephanie Negrete, Jr. Processor

Trenton Flowers, Transaction Coord.

Vincent Sinex, Business Analyst

Yang Hai, Processor

Yvonne Elvenia, Sr. Processor

Richard FitzpatrickRichard Winton11

YEARS

Aaron Mattsson

10 YEARS

Anthony Casillas

9 YEARS

Alejandro DiazKimberly Bisera7

YEARS

Jenneiva SernaRyan Eldred6

YEARS

Daniel HanleyJimmy VuongBob TellesStefanie Matlack

5 YEARS

Armando CastilloJohnny LawrenceOrly Hakimi Sean Varin

4 YEARS

Gina BesignanoKaitlyn HankinsMallory KimberlyMichael Faraci

Mike RouhizadNeil AndersPatrick MccaffreyRobert Vaverka

Ryan MandleyStephanie BanksBill Bright

3 YEARS

Cecilia SalazarChristopher HillDaniel MunozJason MuchaJay Perez

Kascedy EmmelLesley LindPatricia BauerRick AsraniSarah Gomez

Teresa HutchisonTiffany RosalesTori CegielskiVeronica Vallin

2 YEARS

Brennen WilliamsCarla LewisCarmen CristureanCortney WindsorGeorge WisniewskiIrving SoberanisJoseph KhanKathy HernandezKevin Iribarren

Lenore MyersMarc LivingoodMark BurtonMichael RagusaMichael Vetri SrMiguel FimbresNicole ZamoraNoel ZieglerRonald Marini

Samantha HamidiSarah DoleSonia Alvarado - OcegueraStefanie WynneSteven TrombettaZuriel Meerzon

1 YEAR

Page 4

ProductionJunction

Collectively, we funded 1,162 retail/wholesale loans for a combined volume

of $305MM in January 2018.

We want to thank you all for your collective contributions as you continue to set and

achieve production goals! We would like to recognize our top January Loan Originators

and Branches. Great job team!

Top Loan Originators Loan Originator Units Volume

1 Michael VaVerka 41 $8,316,995.00

2 Sam Rumi 21 $5,359,921.00

3 Jane Kim 13 $4,458,434.00

4 Neil Anders 8 $3,727,632.00

5 Daniel Pinkous 8 $3,290,748.00

6 William Bright 9 $3,268,766.00

7 Matthew Campbell 13 $3,232,512.00

8 Gregory Perez 13 $3,230,407.00

9 Daniel Chalk 4 $3,134,670.00

10 Jeffrey McMullen 6 $2,703,660.00

11 Lacey Sullivan 6 $2,602,600.00

12 David Fitzpatrick 6 $2,452,967.00

13 Jacob Emmel 7 $2,369,756.00

14 Claudia Sandez 5 $2,362,000.00

15 Joshua Felzer 9 $2,338,704.00

16 Jared Rogers 5 $2,272,673.00

17 Brie Henley 14 $2,072,559.00

18 Hector Estrada 7 $1,878,072.00

19 Angelo Christian 9 $1,848,263.00

20 Amber Young 5 $1,823,602.00

Top BranchesBranch Units Volume

1 Sky Park Division 54 $18,703,011.00

2 The Irvine Branch 35 $8,999,429.00

3 Lawver 15 $8,686,168.00

4 Palm Beach 45 $8,275,346.00

5 USA Loans 28 $7,506,379.00

6 Downey 26 $7,358,772.00

7 Cerritos 23 $7,286,252.00

8 Blacklick 31 $6,513,059.00

9 Plano 24 $5,332,009.00

10 Chino Hills - Pipeline 12 $5,015,554.00

Jan. Jan. Top Branches

Keep up the

great work!

Page 5

Top Processors

Funded Volume by Number of Units:

Thank you, Loan Processors, for handling AFN loan volume with grace and for your part in shaving days off

our average application-to-funding turn around in Janury 2017 as we strive to consistently close in under

30 days. Let us all do our part to reach the ultimate goal of 20 days or less!

Processor Units

1 Tamara Sharp 32 Units

2 Elysia Bucello 27 Units

3 Nicole Ratliff 25 Units

4 Pedro De La Cruz 17 Units

5 Howard York 16 Units

6 Elizabeth Nance 15 Units

7 CJ Grapentin 14 Units

7 Hailey Castillo 14 Units

9 Jeremy Longman 13 Units

10 Celia Velazquez 12 Units

10 Nicole Wallace 12 Units

Swiftest TT from Decisioned to Cleared for Docs (wore than 5 loans funded):

Processor Turn Time (Days)

1 Teresa Hutchison 6.80 Days

2 Nicole Wallace 8.17 Days

3 Sara Park 8.25 Days

4 Jeffrey Kempter 9.11 Days

5 Amy Hart 11.20 Days

6 Denise Bertino 11.78 Days

7 Beatrice Jackson 12.86 Days

8 Tamara Sharp 12.88 Days

9 Linda Wellmaker 13.63 Days

10 Jennifer OToole 14.22 Days

Jan. Jan.

Page 6

Thank You for your dedication

& Hard Work!

Winners: Glass Awards Will Be Shipped Directly

To Your Branch

Page 7

Because lenders protect themselvesand homeowners should, too.

Page 8

You can reach us via email at

branchrelations@afncorp.com

Call us at 714-831-4334(internal extension 4334).

Our regular hours of service are

7:00 AM to 5:00 PM PST.

YOUR GO-TO PLACE FOR ANSWERS TO YOUR QUESTIONS!

by Jimmy Vuong

Compliance & Branch Relations Manager

State Specific 'Right to Choose. . . '

Disclosures Are Moved To The

Initial Package

Attention: Loan Officers, Processors

To make it easier to comply with state

disclosure requirements, the following

state specific disclosures will now go out

automatically with the initial disclosure

package and may be eSigned instead of

at approval:

State Specific Disclosure Matrix

State Disclosure Name Form ID

AK AK Right To Select Insurance Provider Notice

AKINSJ

AL AL Right To Select Insurance Provider Notice

ALINSJ

AR AR Choice Of Insurer Disclosure ARINSJ

AR Right To Select Attorney ARNOTJ

CO CO Right To Choose Insurance Provider

CORCIJ

IN IN Right To Choose Insurance Provider ININSJ

KS KS Right To Choose Insurance Provider KSINSJ

KY KY Notice Of Free Choice of Agent and Insurer

KYCHIJ

MN MN Right To Choose Insurance Provider

MNRCIJ

MS MS Right To Choose insurance Provider

MSCIPJ

MT MT Right To Choose Insurance Provider

MTCINJ

NM NM Freedom To Choose Insurance Company and Insurance Professional

NMACNJ

NM NM Notice Of Right To Select Attorney NMNOTJ

OH OH Right To Choose Insurance Provider

OHRCIJ

OK OK Right To Choose Insurance Provider

OKINSJ

SC SC Right To Choose Insurance Provider

SCINSJ

VA VA Right To Choose Insurance Provider

VARTCJ

VA VA Choice Of Settlement Agent VACSAJ

WA WA Right To Choose Insurance Provider

WAINSJ

WI WI Right To Choose Insurance Provider WIAP3J

Page 9

LO & Processor Access to Investor Selection - Conventional

Attention: Loan Officers, Loan Processors

To give Loan Officers and Processors insight on how a conventional loan’s eligible investors were selected, they now have

access to the Investor Selection – Conventional Screen under the Forms Tab.

This screen is filled out by the Underwriter to automatically determine the eligible investors.

LOs and Processors can review how these questions were answered to see why investors are eligible or ineligible for the

loan.

Press the Show Log Button to see each question that affects the investor selection.

Tip: Use ctrl+f to find a specific investor or search “ineligible” to find the reason why an investor was ineligible.

Page 10 Page 10

HomeReady Eligibility

A requirement of FHA or VA guidelines that doesn’t allow a loan to qualify comes across my desk regularly,

if not daily. My immediate response to the situation, “Do you know if your borrower is HomeReady

eligible?”. This should be the AFN L.O.’s approach to these hurdles because, in reality, these aren’t dead

ends. Hours before typing this article I was posed with the following scenario:

Mother and daughter each own their home free and clear, but need to move closer to where the

granddaughter is enrolled in special needs classes and also to where she receives medical care as a

special needs child. The mother is also not able to maintain her home as easily since she is growing

older, but can provide free day care for the granddaughter should they live together. The new home is

also closer to the daughter’s job. We need rental income from at least one of the departing residences to

qualify. Can we make an exception to the FHA 100 mile rule?

Unfortunately the answer to this question is “no”, but should the borrowers meet the HomeReady

requirements for the area that they are interested in purchasing we suddenly have a live loan again.

Affordable Lending initiatives are a focus of the GSEs and they are allowed to make exceptions to their

standard guidelines when making these loans. For instance, with HomeReady transactions rental income

from an accessory unit is an eligible source of income whereas it is not otherwise.

Very soon AFN will be generating an email out to the LOs and Loan Processors for HomeReady eligible

loans since Fannie Mae provides a daily report for all casefiles that reflect potential eligibility. Don’t miss

out on the LLPA waivers and reduced MI for your borrowers! Information regarding these waivers can be

found on page 5 of the LLPA matrix.

The HomeReady landing page includes additional information about the program.

Inquire with Ed Fink about how to get your borrowers homeownership counseling free of charge!

by Ed Fink, Director of Credit Risk

Underwriter's Angle

Page 11

HomeReady Eligibility

CORNER

To help users in Encompass navigate

through Encompass even more efficiently,

the navigation buttons have been updated

so you may see your navigation history.

Right-click on forward or backward button

to see your history, then left-click to go to

that screen.

by Jimmy Vuong, Compliance & Branch Relations Manager

Attention: Everyone

Navigation Buttons Update

Page 12

Continued from Page 1

Show me the money…Remember that a low price (which is always relative anyway) is only one small selling

point when you have high quality products and services. When in the best interest of the

customer, purchasing a home should be about building personal and generational wealth.

There is a huge difference between this purchase and any other large acquisition they’ll ever make. Items such

as cars inevitably depreciate; we buy them simply to use for a period of time. A home, on the other hand, is

a long-term investment that has great potential for increasing in value, and minimal risk of long-term losses.

A customer may try to “wait out” the increase in interest rates but they run the risk of interest rates creeping

even higher before they decide to buy. The bottom line is, the home purchase has multi-tiered benefits that

few other investments can match. Its potential future value is likely greater than the cost of the loan, even

with a higher interest rate than may have been available previously or may be available in the future. A delay

in purchasing a home to wait for interest rate changes is a delay in the building of equity, and future wealth.

It’s also a huge risk as home prices have been trending higher each year in many states. Waiting also means

they’ll continue to pay rent, and in so doing, paying someone else’s mortgage, i.e. building someone else’s

wealth rather than their own.

When the Going Gets Tough, Ask Yourself, “Is It Really?”by John Sherman, President

It’s only a money-pit if you don’t know what you’re doing…Existing homeowners who have spent a few years paying down their loan principle might

be ready for a home improvement loan now. Guide your customer in assessing the potential

for return on this investment versus the cost of capital. A loan is not only about the cost of

capital. A loan is really about making money. Borrowers are almost always so anxious about the cost of

borrowing funds that they fail to focus on the production of equity (wealth), which the loan was purchased

to initiate. Customers rarely think of taking out a loan as a money-making endeavor, but it can be when the

purchase is an investment and the cost of the loan can be mitigated by the building of equity. You can help

your customer remain focused on their future by framing these decisions in a practical, business-minded

road map.

Page 13Page 13

Not all things to all people…There is no real reason for your customer not to refinance, say from an ARM to a Fixed rate, while interest

rates are still relatively low, but they will be hesitant when interest rates are on the rise. Even with a

possible increase in the cost of the loan at the time of refinancing, the stability of a fixed interest rate can

offer both, long term savings and peace of mind. In 1981, the fixed mortgage rate was just under 17%*. In

historical context, rates are still very affordable.

The bottom line: rising interest rates (or any change in the relevant environment) can cause you

anxiety, when in reality it’s still a great time to be in the loan sales business. Many states saw record home

sales in 2017 and the beginning of 2018. The cornerstone of the American Dream is homeownership. You

and your team make that possible, each and every day. Let’s keep our momentum going as we remain

committed to exemplary services, products, and most importantly, people. The pool of home buyers is

strong and we know you’ll be t here to help them finance their own personal American Dream with AFN.

*Freddie Mac Research (published on their website)

And now for something

completely different… Could there be a silver lining in the black interest rate cloud

the bloggers and trade journals are showcasing? Rates tend to rise when the Fed

determines that the overall economy is strengthening and doesn’t require as much

stimulus as in previous years. The good news for your customers is that a stronger economy

can mean increased job security, thereby potentially ensuring their ability to afford their

mortgage through amortization.

Page 14

Application to Funding in 11 Days!

Day 1:Application taken

Credit report pulled

Initial disclosures sent

Day 2: Day 3:Submitted to Underwriting in the morning

Audited by the Compliance Department

-Very few compliance conditions were added. The initial disclosure package was prepared and returned complete.

Conditionally approved by Underwriter in the late afternoon

Day 4: Waiting for borrower to return requested PTD conditions

Appraisal is delivered

Day 6: Processor prepares and sends re-disclosed LE for settlement charge changes

Borrower eSigns re-disclosure and returns to the Processor same day

Last disclosed LE waiting period starts (borrower must wait 4 specific business days before consummation from this day)

Processor submits first set of PTD conditions to Underwriter in the late afternoon Day 7:

Underwriter reviews PTD conditions early morning

Processor prepares the initial CD and sends to the borrower

Borrower signs & returns to the Processor the same day

CD waiting period starts (borrower must wait 3 specific business days before consummation from this day)

Processor submits second set of PTD conditions to Underwriter

Processor uploads compliance conditions and puts the loan in line for compliance review

Day 8: Compliance approves loan

Day 9: UW signs off on all PTD conditions & approves loan

Loan is cleared for docs

Docs are requested

Day 10: Docs out for signing in the morningBorrower signs docs at noon

Borrowers signed and returned the complete set of initial disclosures

Complete borrower credit package uploaded for Processor review

Loan locked

App Received milestone completed

Processor prepares and sends re-disclosed LE for lock

Borrower eSigns re-disclosure and returns to the Processor same day

Sent to Processing Milestone completed

DU ran

Processor reviewed the file:

-Very little Processor conditions sent back to LO because the LO submitted a complete fie

Appraisal ordered

Day 5: Waiting for borrower to return requested PTD conditions

Day 11: Docs returnedFunder reviews docs

Loan funds

This FHA purchase from the BMG Phoenix Branch was able to take an application and get it funding within 11 days!

Internal Use Only Corp NMLS # 237341

Page 15

FHA OVERLAY MATRIX UPDATES

by Michael Faraci, Product Manager - Secondary Marketing

Product Update

The following items have been updated on the FHA Overlay Matrix.

Mr. Cooper (I-19) updated as an eligible investor.

TX Capital (I-44) updated as an eligible investor.

Clarification made to Bank Statements overlay.

Loans using DPA programs are not eligible with PUF (I-12).

Maximum 97% CLTV with PUF (I-12).

PUF (I-12) MFH overlay updated, including eligible states.

HI Homelands loans are now eligible with Freedom (I-21).

Flood insurance overlay added for Chase (I-16).

All changes are

currently active, and

are available on the

Intranet.

Application to Funding in 11 Days!

Day 1:Application taken

Credit report pulled

Initial disclosures sent

Day 2: Day 3:Submitted to Underwriting in the morning

Audited by the Compliance Department

-Very few compliance conditions were added. The initial disclosure package was prepared and returned complete.

Conditionally approved by Underwriter in the late afternoon

Day 4: Waiting for borrower to return requested PTD conditions

Appraisal is delivered

Day 6: Processor prepares and sends re-disclosed LE for settlement charge changes

Borrower eSigns re-disclosure and returns to the Processor same day

Last disclosed LE waiting period starts (borrower must wait 4 specific business days before consummation from this day)

Processor submits first set of PTD conditions to Underwriter in the late afternoon Day 7:

Underwriter reviews PTD conditions early morning

Processor prepares the initial CD and sends to the borrower

Borrower signs & returns to the Processor the same day

CD waiting period starts (borrower must wait 3 specific business days before consummation from this day)

Processor submits second set of PTD conditions to Underwriter

Processor uploads compliance conditions and puts the loan in line for compliance review

Day 8: Compliance approves loan

Day 9: UW signs off on all PTD conditions & approves loan

Loan is cleared for docs

Docs are requested

Day 10: Docs out for signing in the morningBorrower signs docs at noon

Borrowers signed and returned the complete set of initial disclosures

Complete borrower credit package uploaded for Processor review

Loan locked

App Received milestone completed

Processor prepares and sends re-disclosed LE for lock

Borrower eSigns re-disclosure and returns to the Processor same day

Sent to Processing Milestone completed

DU ran

Processor reviewed the file:

-Very little Processor conditions sent back to LO because the LO submitted a complete fie

Appraisal ordered

Day 5: Waiting for borrower to return requested PTD conditions

Day 11: Docs returnedFunder reviews docs

Loan funds

This FHA purchase from the BMG Phoenix Branch was able to take an application and get it funding within 11 days!

Internal Use Only Corp NMLS # 237341

Page 16

Are You A Mortgage Travel Agent?

For the past 45 years, the average rate on a fixed rate mortgage has been 8.25%.

I expect that your clients are concerned with the recent rise in rates, but on a relative

basis, rates are still pretty darn good. There is no doubt that refinance activity has and will continue to

decrease. But the purchase market has rarely been stronger than it currently is. And the opportunity for

clients to create wealth via real estate is exceptionally favorable.

The key for originators is to take the role of an advisor. And being an advisor is much more than just saying

you are one or understanding how to put a loan together. We say we are in the mortgage business, but if

you think about it, is it a mortgage that people want? Do they love high monthly debt? No, what they really

want is money. The sooner we understand that we are in the money business, the quicker we can start on

the path to becoming an advisor.

Why is it so critical to be an advisor? Look no

further than the Super Bowl add from Rocket

Mortgage, which positions all LO’s as bumbling

idiot salespeople. If you saw the commercial,

did it piss you off? It should…so what lessons are

you learning and more importantly, what steps

are you taking to protect your career? Making

the transition from salesperson to advisor will

help ensure your success into the future.

Think about it…What the heck is a travel agent these days?

An entire industry has been wiped out by technology. Note

to self – Don’t be a travel agent in the mortgage business.

And remember when Stock brokers were everywhere?

Online trading platforms have decimated salespeople

who were pushing Stocks. But those who remain as

financial advisors are not competing with $9 per trade,

they’re charging 1% on the assets under management.

By Barry Habib, CEO of MBS Highway

Page 17Page 17

Are you looking at your business as loans under management? Do you understand the opportunity in

real estate in your local market? Can you help your Realtor articulate that opportunity to their client? Are

you helping your Realtor gain more listings at point of sale? Do you understand the economic conditions

driving interest rates? In every instance, you should and more importantly need to be. It’s natural for

clients to shop for the best rate. But remember, the best rate on the wrong mortgage strategy is far

more expensive than a competitive rate on the right overall financial strategy, given by a true mortgage

advisor.

Those originators who fail to transition themselves into advisors will go by the way of the

transactional stock broker, the dinosaur, and yes, the travel agent.

Here's the good news…AFN has already given you the best tools to become a true advisor through

MBS Highway. But here’s the catch…You actually have to use it. Would you refer a family member to a

physician who, once they received their license, never kept up with the latest advances? Or would you

rather them be under the care of someone who was up to date and educated on the best ways to help

their patients? The answer is obvious and therefore, shouldn’t your clients and referral sources want to

work with the smartest in the industry? Don’t they deserve that?

Make sure you watch the daily updates within MBS Highway without fail. The 4 minutes a day will

start you on a path to becoming an advisor instead of a salesperson. And familiarize yourself with the

amazing and powerful tools that MBS Highway puts in your hands, like the Real Estate Report Card, Buy

vs. Rent Calculator, Marketing Kit, and the incredible Loan Advisor Tool, so that you can create more

opportunities for your Realtors and clients and be rewarded with an enormous gain in your income,

regardless of the move in interest rates.

We are here to help – Email or call us any time at 732-526-7900 or support@mbshighway.com.

Thank you for participating and sharing your appreciation for your

Team AFN co-workers! We encourage you to keep submitting

props for your co-workers! Below are just a few that were submitted

in January. Give AFN Props here!

AFN PROPSAFN Props!

Awarded to: Marlene Ruiz, Production Coordinator

"From my first day working at AFN, she has been extremely helpful to me and patient with teaching me everything. No matter how busy Marlene is, she is always available to answer a question and even explain things in detail. She is awesome!"

Given by: Maritza Rodriguez, Jr. Processor

Awarded to: Erik Godoy, Funder

"Erik accommodated a last minute rush closing and sent out closing instructions as soon as the doc request was put in. The attorney was difficult to work with but Erik was professional throughout the process and the loan funded very quickly. Erik is always willing to help and goes above and beyond!"

Given by: Mike Matthews, Loan Officer

Awarded to: Kirstin Rowley, Graphic Designer

"Kirstin is a superstar! She always has a sunshine smile on her face. She recently helped HR with the creation of the new onboarding welcome letter and it is simply amazing. We are so grateful for her expertise!"

Given by: Tori Cegielski, HR Assistant

Congratulations to our top January AFN Props recipients!

Top Dept. Marketing16 Props1ST PLACE

Marlene Ruiz Production Coordinator8 Props

Runner Ups

Ashlee Shields - 3 Props

Kim Bui - 3 Props

Page 19

Awarded to: Susan McLaughlin, Underwriting Team Manager

"Susan is always available, always so kind and breaks things down so I understand why behind a condition. #AFNCOMMUNICATOR!"

Given by: Chris Conlon, Loan Officer

Awarded to: Patty Rambo, Processor

"Patty is the ultimate team player! She responds quickly and always keeps me in the loop. Patty and I worked on our 1st Reverse Mortgage together. I was amazed how she jumped in to learn ReverseVision so quickly. Nothing scares her! Patty Rambo is AMESOME!!!"

Given by: Susan Kirgan, Loan Officer

Awarded to: Susie Sensenbach, National Director of HR/Payroll

"I have worked in the mortgage industry for over 40 years and am a firm believer that when people excel at their job, it should be noted. Susie deserves a Prop for being there for me and my team whenever we need help. She is pro-active, very pleasant, knowledgeable, professional and has the "can do this" attitude that makes working at AFN a joy."

Given by: David Ross, Regional Manager

“Megan is such a hard worker, she is one of the most helpful and lovely people I

have ever met, let alone had the pleasure to work with! Thank you

Megan for all of your hard work, AFN is so lucky to have you!!"

Awarded to: Megan MillerLicensing Coordinator

Given by: Kirstin Rowley Graphic Designer

“Jon is so wonderful! He brings joy to the office and works

so hard! We are very lucky to have him!! Thanks Jon for all of your

hard work!”Awarded to:

Jon Frausto, Receptionist

Given by: Kirstin RowleyGraphic Designer

“Kim is so helpful! She helped get

me in line for success with my adobe

program. Whoo! Thank you!”

Awarded to: Kim BuiMarketing Digital Content Manager

Given by: Tori CegielskiHR Assistant

Page 20

AFN FAN CORNER“Ryan did a wonderful job he is great at communicating with us and answering all of

our questions and a timely manner he made a very stressful time in our lives seem to

go very smoothly and we really appreciate it thanks so much Ryan.”

- Brenda G. for Ryan Leeder from Lawver

"As first time home buyers, we had so many questions, comments, and concerns. Kevin

was always available to walk us through anything we needed. He made us feel at ease

through the whole process and was incredibly helpful through the entire duration.

Thank you Kevin!”

- Samantha U. for Kevin Kilbride from Manalapan

“Thank you Gloria for your amazing professionalism, dedication, and willingness to go

above and beyond to help me throughout the loan process! I will be referring anyone

and everyone to you in the future because you truly made my experience so wonderful!

Thank you for the work you do!”

- Autumn G. for Gloria Johnson from Palm Beach

“We received very personal service from Cece and her support staff. She handled

everything thoroughly, urgently and kept us informed during every step of the process.

Cece is very knowledgeable and professional, a pleasure to work with!”

- Christa P. for Cecelia Swed from AAHM Garcia

AFN SOCIAL SURVEY STATS

Total Surveys CompletedLast 30 Days

SOCIAL SURVEY

Greg Perez Mission Viego6 reviews. Average: 5

“I didn't have to worry about anything in the process,

Jacob took care of everything. Maybe more

importantly, he is open and honest about everything.

I never got the feeling that his own gain was more

important than my mortgage. To that point, he took

a hit at closing on his fees, when the HOA of my

future home had fees we didn't expect.. HE DID THIS

WITHOUT ME ASKING. Next time I'm in the market for a

mortgage... I 'm just going to call Jacob.”

Jon T. for Jacob Emmel from Plano

“Paul and staff were very helpful. Paul took the

extra time to walk me through the process, patiently

explaining each component and what it meant. Each

time we communicated, I felt that he was genuinely

interested in my application and wanted to assure that

I had all my questions answered. I 've worked with Paul

before, and I would not hesitate to contact Paul again

for future needs. I have referred friends to Paul.”

Jorge L. for Paul Bozek from Cali Mortgage

Jeffrey McMullen Carmel Rancho Blvd6 reviews. Average: 5

Joshua Ulmer Ideal Lending Solutions - Jupiter5 reviews. Average: 5

4 Reviews - Average 5 Stars

Brandon Miles Chino Hills Pipeline

Chris Hill Plano

Daniel Pinkous Chino Hills Pipelin

Debra Maxey Dallas-Uptown

Jay Boetscher Lockport

Patti Crosswhite Blacklick

Vickie Lasher Banning

CurrentSurvey Score

Total Surveys Sent Over Last 30 Days

Social Posts Over Last 30 Days

4.8

2,661

443

872

SocialSurvey Training

Now available on iConnect. Download them in 3 easy steps. Learn how here:

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Product Overview Flyer Search "Product Overview" under Marketing > Flyers

Marketing Library Update

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Marketing Library Update

Page 23

Questions? Email me at mfleming@afncorp.com and don’t forget to like AFN’s pages too!

Social Media Compliance

by: Michael Fleming Social Media Manager

Social Media is a wonderful resource to use in the Mortgage Industry to help create leads and to even use

for recruiting. It’s a wonderful marketing tool that is free to use, however as AFN continues to grow is very

important to make sure you are using social media that falls under our compliance guideline.

When using any social media platform for business please include the following.• Your NMLS #

• HR Title

• Equal Housing Lender or the EHL Logo included with our cover photos (see Social Media Library)

• This disclaimer “The views expressed are my own and do not necessarily reflect those of American

Financial Network, Inc”.

If you have a Facebook business page already created or another social media profile please make sure to

contact myself at mfleming@afncorp.com and include the URL to your page, so I can review it.

You can also submit to have a Facebook business page created for you from our marketing team, and the

page will include all materials and information to make it compliant. If you wish to do so, just click here.

Here are some additional reminders when posting to your social media• Avoid misleading titles such as ‘financial advisor’

• Do not post rates

• Avoid promissory language

• Avoid making statements about credit repair

As always if you have any questions feel free to email me at mfleming@afncorp.com and stay tuned for our

new trainings and Social Media Compliance Guide coming soon!

Page 24

We ask that you join us

in wishing the following

employees a very Happy

Birthday in the month of

February!ha

ppy

BIR

TH

DA

Y

Gary Thompkins

Kimberly Gasca

Lee Pippens

Michael Ladkani

Richard Hernandez

Ruel Salido

Tammy Thompson

Natalie Solorio

Roy Rodriguez

Christopher Jolliff

Elysia Bucello

Robert Chain

Francis Colosa

Gemma Francisco

Kevin Cho

Darlene Nieves

Eliseo Carrillo Jr

Francisco Giron

Michael Sundara

Randall Shrader

Anthoni Davis

Benjamin Benavidez

Cynthia Travis

Elvis Mehic

Kim Skulavik

Clifford Eagan

Nicole Wallace

Rene Turla

Ana Meza

Leonard Vannicola Jr.

Denise Bertino

Talisa Hawkins

Thomas Sherman

Barbara Hasse

Mackenzie Alexander

Tatiana Rumi

Vanessa Corona

Page 25

Donna Williams Jose Fraguela

Marc Tapley

Neil Anders

Richard Wagner

Robert Cassidy

Jamie Matteo

Jessie Frazier

Martha Garfio

Tami Walsh

Tori Tashiro

Christina Guerrero

Diana Gray

April Inlow

Brian Hoerning

Doris Henderson

Letty Cartagena

Paul Hessler

David Ramos

Josh Cavin

Matthew Martinez

Nathan Elliott

Samuel Kempter

Brandon Hawkinson

Claudia Medrano

George Irwin

Marlene Ruiz

Robert Daniels

Janice Brejnik

Josephine Gunawan

Lizbeth Rodriguez

Martin Pennell

Timothy Valenzuela

Brandi Villa

Coleena Hanson

Francisco Granados

Marife Mamaradlo

Patty Vongxay

Ryan Pinkney

Brian Gammero

Cathy Oliveira

Lalonnie Phillips

Raul Ruiz

Alexandar Bakalov

Jojo Pamintuan

Samantha Westen

Raheel Esmail

Charlene Ruiz

Jonathan Bennett

Miguel Fimbres

Nataliya Kasko

Tracy Barnes

Lyall Gillen

William Tobias

Deborah Rogers

Felice West

Juan Kelley

Quyen Luu

Alejandro Collins

Angela Robinson

Jacquelyn Warner - Yungen

Joanne Mendoza

Maria Cummins

Alberto DoLori Mcbride

Isaac Nunez

Jonathan Parrill

Page 26

by: Andy Kalyviaris, Esq., Chief Compliance Officer | Associate General Counsel

Wire Transfer Fraud is on the Rise

Consumers in the U.S. lose millions of dollars every year to unscrupulous individuals committing wire transfer

scams. Some of these con artists specifically target the real estate industry, and often take the time to

learn specific transaction details such as closing dates and names of parties (e.g., buyers, sellers, agents,

and attorneys) by hacking into title company, lender, or realtor email accounts. They will even take note of

language/terminology used by agents or loan officers so as to sound convincing when communicating with

their target. Once they have some details, they will email the borrower from an email that appears genuine,

and usually pose as the real estate professional or title company. They will then instruct the borrower to wire

funds to a particular account controlled by the hackers. Typically, they will provide an excuse as to why the

account information has changed, such as technical issues with the original account. If the buyer complies

with the request, they will usually lose that money forever, as there is no way to stop or recall the wire.

Please be vigilant when working with buyers, and take note of any suspicious activity and report it immediately.

Not every scammer will use the same techniques so it is important to be alert and notice anything out of the

ordinary. Further, it is imperative that the receiving account is verified prior to initiating a wire. Wire transfer

fraud is an increasing problem, with FBI data showing a 270% increase from 2015 to 2017 so let’s all do our

part to help protect our borrowers and AFN. As always, please contact the legal department if you have any

questions or concerns.

NOTICE: CREDIT INQUIRY REMOVALS

We have noticed a sharp increase in complaints from applicants regarding unauthorized credit pulls. As

mentioned in previous newsletters and a compliance bulletin, AFN requires written authorization before

running credit. In order to ensure everyone is following this policy, any loan originator receiving more than one

complaint concerning an unauthorized credit pull in a 12-month period may be at risk of losing the ability to

order credit reports. In addition to obtaining written authorization, please make sure you are communicating

with your borrowers prior to running credit. This will help drastically reduce complaints and may also help

prevent unnecessary inquiries.

BRANCH WIREContributors

Contributors

Andy Kalyviaris, Esq.Chief Compliance OfficerAssociate General Counsel

Barry HabibCEO, MBS Highway

Ed FinkDirector of Credit Risk

Jimmy VuongBranch Relations & Compliance Manager

John ShermanPresident

Jon GwinCOO & General Counsel

Kim (Bui) SkulavikMarketing Systems Manager

Michael FaraciProduct Manager - Secondary Marketing

Michael FlemingSocial Media Coordinator

Nasim TourignyDirector of Processing

Yvette HidalgoHR Coordinator

Editor-In-ChiefLisa PetrasDirector of Information

Managing EditorCorey TrujilloVP of Marketing & Creative Services

DesignerAshlee ShieldsMarketing Creative Manager

Comments or Questions about the Newsletter?

Email marketing@afncorp.com. For Internal Use Only

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