Mortgage Builder Software Helps Mortgage Brokers Become Bankers; LOS Provider Offers Special Pricing Package for Brokers in Transition.

Business Editors

ATLANTIC CITY, N.J.--(BUSINESS WIRE)--March 24, 2004

Mortgage Builder Software, Inc., a provider of complete mortgage lending software solutions, announced at the Annual Northeast Regional Conference of the Mortgage Bankers Association its new broker-specific pricing package aimed at the growing number of mortgage brokers transitioning into mortgage bankers.

"Pending RESPA reforms, opportunities in the secondary market, more control over income and better pricing options are all factors driving mortgage brokers to make the leap to a more robust banking system," said Keven Smith, president, Mortgage Builder Software, Inc.

Mortgage Builder offers two avenues for brokers needing the full functionality of a banking LOS system, with an application service provider (ASP) solution or an in-house, transaction-based solution. The ASP model eliminates the upfront software costs associated with implementing a comprehensive system and provides brokers with access to the Mortgage Builder LOS and central server via the Internet. The ASP model also allows users to outsource hardware requirements, technical support and disaster recovery. The in-house, transaction-based solution allows brokers to load the Mortgage Builder system directly onto their computers and pay for its use based on the number of loans closed.

"A mortgage banker must have a larger and more stable infrastructure than a broker, including technology, personnel and administration," added Smith. "The difference between the broker's LOS and the complete lending system needed for mortgage banking is vast and so is the cost. This pricing package helps brokers make the switch without 'breaking the bank' on upfront technology investments."

Broker systems typically take a loan from origination through processing. Bankers' systems go beyond processing to include closing, post-closing and secondary marketing functions. More robust systems require more of an investment, which many brokers cannot afford. The new pricing package eliminates the traditional "down payment" and introduces a transaction-based fee structure.

"Our studies confirm that brokers increasingly are looking toward banking to pick up additional profit. Incorporating a banker's technology solution that avoids incurring extra overhead charges makes perfect sense in a volatile business environment," said Jeff Lebowitz, founder and principal of MORTECH LLC, Chester, Conn., an independent mortgage technology research firm. "The ASP-based broker package provides brokers with a rational alternative to making a major systems investment."

About Mortgage Builder Software, Inc.

Headquartered in Southfield, Mich., Mortgage Builder Software, Inc. has provided high-quality loan origination software (LOS) systems to mortgage bankers, brokers, credit unions and financial institutions for more than 25 years. An all-inclusive Windows(R)-based software package, the Mortgage Builder(R) system addresses all mortgage banking needs from point-of-sale to closing and back-office functions. Supporting both Microsoft(R) and UNIX platforms, Mortgage Builder pioneered the development of the first Linux-based LOS.

In 2003, Mortgage Builder was named one of the industry's Top 100 technology companies by Microbanker and recognized for outstanding customer service with a commendation for Mortgage Technology Magazine's Help Desk Award. For more information, visit www.mortgagebuilder.com.