QC Alert: Mortgage Buybacks Spike

GSE Seller-Servicers see a mortgage buyback spike of over 60% year-over-year in December 2022.

Ask yourself:

Does your Quality Control ("QC") department operate independently to ensure all activities are conducted in an unbiased manner and without quality compromises resulting from internal influences or conflicts of interest?

Do you have an effective, independent oversight process for mortgage ensuring origination quality?

Independence is vital to a strong QC program as it preserves the integrity of the QC process. The audit team must be free to perform an impartial review of the loan-level quality and provide unbiased reporting to management. Maintaining a healthy enterprise risk management program requires QC independence to produce QC reporting that surfaces the potential risks facing your organization as well as clear, concise, and actionable insight.

Mitigate your risk for costly buybacks by leveraging the resources found at The Commonwealth Group. We are experts in QA plan audit, pre-funding audits, post-closing audits, EPD reviews, and forensic underwriting.