MBA CMB case studies
MBA CMB · Put your knowledge to work in context.
The Certified Mortgage Banker (CMB) designation is a professional credential offered through the Mortgage Bankers Association (MBA), listed on the MBA site under Certificates and Designations alongside other industry credentials such as the AMP, CCMS, RCMS, CRU, and CMCP designations. The CMB program is organized into two tracks: the Residential CMB and the Executive CMB, each with its own page within the CMB section. The MBA CMB case studies are 5 cases and about 3,665 words.
1Rate Lock, Low Appraisal, and a Self-Employed Borrower
A retail loan officer at a 9 billion bank has a purchase loan scheduled to close in nine days. The borrower is the 100% owner of an S-corp consulting firm; 2023 and 2024 returns show net income of 182,000 and 146,000, with depreciation add-backs of 28,000 and 31,000.
741 words, about 4 min2Wholesale Channel Exit Under Repurchase and Concentration Risk
The CEO of a 14 billion regional mortgage bank is reviewing a proposal to exit the wholesale channel within 90 days. Last year the bank originated 4.2 billion: 2.5 billion retail and 1.7 billion wholesale.
716 words, about 4 min3Escrow Shortage After a Servicing Transfer
A mortgage servicer acquired servicing on a closed-end, first-lien, owner-occupied loan in March. The prior servicer had paid the borrower's 2024 property tax installment late, in October, because of a tax-office processing error; a 310 penalty was charged to the escrow account.
747 words, about 4 min4Loan Originator Compensation Redesign Across Retail and Wholesale
A national mortgage bank is redesigning loan originator compensation after a supervisory examination found weaknesses. The current retail plan pays loan originators 70 bps of loan amount plus a 10 bps portfolio bonus for loans the bank retains, and a quarterly 5,000 bonus if the originator's pull-through rate exceeds 85%.
752 words, about 4 min5Non-Warrantable Condo With Litigation and Financing Contingency Pressure
A retail underwriter is evaluating a 510,000 loan on a 680,000 condominium unit at 75% LTV. The borrower has a 760 FICO, 38% DTI, and 12 months of reserves.
709 words, about 4 min