CRM solutions provider Sales Boomerang released its inaugural Mortgage Market Opportunity report, which covers the second quarter of 2021. In it, the company said refinance opportunities continue to dominate the market, but a promising uptick in new listings was also evident in the Q2 data.
Mortgage servicers will need to closely manage their default and foreclosure risk in the coming months, as the second quarter saw nearly two out of five customers trigger a risk-and-retention alert, the company said.
To generate its report, Sales Boomerang reviewed data from more than 125 residential mortgage lenders that use its borrower intelligence and retention tools and calculated the aggregate frequency with which those contact records triggered loan-opportunity and risk-and-retention alerts.
The risk and retention alert was triggered for 36.63% of monitored contacts (down 5.69% from Q1). Sales Boomerang said this result may be partially attributable to the sensitive nature of the Risk & Retention alert, which is triggered by any of 15 consumer behaviors that place a borrower in danger of missing a mortgage payment.
The high frequency of this alert also underscores the nation’s uneven economic recovery in the wake of the coronavirus pandemic, as more than 9.5 million people remain unemployed and around 2.5 million homeowners are in forbearance plans.
“Industry experts have been pushing the idea that the refinance market has dried up since early 2021, but our data shows that plenty of borrowers still have the opportunity to improve their rates,” said Sales Boomerang CEO Alex Kutsishin. “Meanwhile, the housing inventory shortages that have stymied the purchase market’s potential may finally be turning a corner, as our customers saw significant gains in new listings in Q2.”