Rocket Companies has appointed an AI-oriented independent director to its Board of Directors, according to a press release.
The new addition, Alex Rampell, is a general partner at Andreessen Horowitz who focuses on fintech investments.
Described as a “serial entrepreneur,” he co-founded companies like Affirm, a leader in “buy-now-pay-later,” and TrialPay, a transactional advertising and payments company that was acquired by Visa in 2015.
Rampell now promotes the responsible use of AI, which he says will bring about a new era of transformation and disruption in the financial services space.
“When I heard [CEO Varun Krishna] speak about the AI tools Rocket is creating, and the massive amount of data at their fingertips, I was simply blown away,” said Rampell.…
By ERIN FLYNN JAY
Foreclosure numbers are up by double-digit numbers and industry leaders say they will continue to rise this year.
Earlier this month, ATTOM, a curator of land, property, and real estate data, released its Year-End 2023 U.S. Foreclosure Market Report, which shows foreclosure filings — default notices, scheduled auctions, and bank repossessions — were reported on 357,062 U.S. properties in 2023, up 10% from 2022 and 136% from 2021.
CEO Rob Barber told The Mortgage Note several elements may be contributing to the rise in foreclosures.
“Key among them is the increase in interest rates, especially for adjustable-rate mortgages, leading to higher monthly payments for homeowners. Additionally, escalating unemployment rates are a concern,” Barber said.
Barber said…
Rocket Companies named former Airbnb exec Jonathan Mildenhall as Chief Marketing Officer, the company announced in a press release.
In this new position, Mildenhall will craft a marketing voice that unifies all businesses under Rocket Companies, keeping their branding in line. All marketing and communications teams will report directly to him.
“The role Rocket plays in helping people achieve the American Dream through home ownership and financial freedom is massive and cannot be overstated,” he said. “I am honored to be given the opportunity to work with this talented team.”
Mildenhall brings more than three decades of experience to the position. He is a co-founder of leading branding and marketing consultancy, TwentyFirstCenturyBrand. The company has worked with game-changing companies such…
Rocket Companies expanded its Board of Directors to include CEO Varun Krishna.
Krishna became the eighth member of the board effective December 21. His term is scheduled to end at the company’s annual meeting in 2026.
Regulatory filings showed that Krishna will not be paid additionally for his new role. His earning potential as CEO is up to $20 million, factoring in base salary, bonuses, stock, and options awards.
Board members who are not part of Rocket typically receive a retainer fee of $50,000, $3,000 per board meeting attended, and stock options.
“We are thrilled to welcome Varun to the Board of Directors. With more than 20 years of experience in the fintech space, Varun brings with him a wealth…
By ERIN FLYNN JAY
As artificial intelligence plays an increasingly important role in the mortgage business, industry leaders are figuring out ways to harness its power to revolutionize homebuying.
Dan Weisman, director of innovation strategy at the National Association of Realtors, said AI brings enhanced automation, efficiency, and transparency to the process. People who can effectively use it have the chance to dominate the landscape in 2024.
“With artificial intelligence rapidly entering our lives faster than most could imagine, the industry has opportunities to improve analyzing market trends, assessing credit risk, and ensuring regulatory compliance, which will lead to a more tailored lending experience,” Weisman said in a recent interview with The Mortgage Note.
For example, JPMorgan Chase is developing…
Rocket Homes has a new plan for encouraging homeownership: showing Americans homes for sale as they’re driving.
Rocket Homes, the real estate service arm of Rocket Companies, made its iOS app available in cars, trucks, and SUVs through Apple CarPlay in order to turn the “everyday commute into an exciting and natural part of the homebuying journey,” company leaders said in a press release.
Users click the “Nearby” tab of the app on CarPlay to pull up homes listed for sale in the area. Drivers can then get directions to the home, call an agent, or save the listing for later viewing on their iPhone.
“The Rocket Homes app is making house hunting more convenient for busy homebuyers on-the-go,” said…
Mortgage lenders who pivoted to borrower-centric approaches in the last year saw customer satisfaction soar despite high rates.
That’s according to the J.D. Power 2023 U.S. Mortgage Origination Satisfaction Study, which found overall customer satisfaction with mortgage lenders rose 14 points YOY, even as the average mortgage rate has climbed to its highest level in 23 years and lending volume tanked.
The reason? Increased focus on the borrowing experience, leading to happier customers.
While nearly a third of customers said they chose the lender with the lowest rate, 69% cited other reasons like personalized service and helpfulness.
“The value equation for mortgage originators has shifted from instant approvals and lightning-fast processing to helpful advice and creative problem solving,” said Bruce…
Rocket is embracing artificial intelligence and leaders there say it will be a game changer in the lending industry.
Varun Krishna, CEO of Rocket Companies, emphasized their focus on AI in a statement accompanying the third quarter’s financial results.
“In today’s climate, innovation is essential. With the incredible amount of data in our ecosystem, paired with the transformative power of AI, Rocket is uniquely positioned to disrupt the industry. We’re just getting started and can’t wait to show you what we are building to revolutionize homeownership,” Krishna said.
Last month, continued advancements to the company’s Pathfinder tool were announced. Pathfinder is an AI and machine learning-powered search engine used by more than 40,000 housing professionals, according to a press release.…
Earnings for the third quarter of 2023 are out offering a view into how lenders did. Here’s a snapshot of how some of the nation’s top lenders handled this summer.
Rocket Mortgage
Rocket reported solid earnings with a net revenue boost of 12.8% YOY, though profits remained effectively flat from Q2 at $1.2 billion. Originations totaled $22.2 billion, down 13.2% YOY and also basically the same from last quarter, no big surprise given current market conditions. Its gain on sales margin rose for a third straight quarter, up 2.76%.
“I am very proud of our team for delivering strong results against a challenging economic backdrop,” said Varun Krishna, CEO of Rocket Companies. “In today’s climate, innovation is essential. With the…
Rocket Mortgage’s search tool has new advancements, the company announced in a press release.
Pathfinder is an AI and machine learning-powered search engine used by more than 40,000 bankers, brokers, and underwriters to simplify mortgage processing.
“Pathfinder has been an invaluable tool for curating complex data and transforming it into knowledge engineering. This technology, and others that leverage advancements in AI and machine learning, are truly evolving how we can facilitate homeownership,” said Brian Woodring, Rocket Mortgage CIO.
Its custom Google AI search, which Rocket developed after releasing a searchable home loan knowledge database three years ago, increased Rocket’s speed and efficiency in answering client questions by 29%.
Rocket is now testing a new AI chat interface, which has shown…
