Case Study

Sierra Pacific Mortgage

Loan Volume Increased 200%

Cierra Pacific Mortgage Logo

Sierra Pacific Mortgage Admin Productivity Increased 102%

“We’ve been able to grow our loan programs while maintaining and enriching our core team members.”

Michael Brooks, National Renovation Manager, Sierra Pacific Mortgage

Product Offering:

  • Renovation Loans: FNMA Homestyle, FHA 203K Standard, VA Renovation, FHA 203K Limited

Goals:

  • Manage at Scale
  • Implement a Digital Solution
  • Build the Renovation Program
  • Increase Loan Volume
  • Maintain SLAs

Solution:

  • Construction Loan ManagerTM Software

Results:

  • 102% Admin Productivity Growth
  • Visibility For Stakeholders
  • Program Growth
  • Continued Delivery of SLAs
  • 200% Increase in Loan Volume

The Challenge

Sierra Pacific had made the decision to begin a renovation loan program and recruited Michael Brooks to take on the job. Tasked with building a new program, Brooks followed best practices and successfully built a team, outlined guidelines, had cross-functional meetings with senior leadership in all departments, and created a strong framework for renovation.

Sierra Pacific launched their renovation loan program in January of 2018, starting with FHA 203K, and other programs would follow. With a focus on training, Sierra Pacific invested in training Loan Originators on the complexities of the renovation loan and how to sell it. The team took well to the training and began successfully originating renovation loans. Sierra Pacific was pleased with the initial influx of renovation loans. Those loans were managed by Michael Brooks, National Renovation Manager, and a team of two, including Daniel Green, Disbursement Specialist, who were both interviewed for this case study. Brooks and Green developed a draw disbursement system through Excel.

At the time, Excel suited their needs as they had time to be very hands-on with each loan. Renovation loans were being originated at a rate that was manageable to Brook’s small team, and began to see an uptick in 203k loans the last quarter of 2018. In 2019 they launched Fannie Mae Homestyle, repeated the training with the LOs, and the Sierra Pacific Renovation Program really took off.

“That uptick from the last quarter of 2018 and then through launching Fannie Mae Homestyle in early 2019, we went from maybe 25 to 30 loans post-close, to 50-70 loans post-close,” says Brooks. “Daniel (Green) was handling this all on his own through Excel, and we soon realized we reached a threshold where this wasn’t efficient any more. Managing that many loans on Excel was futile. We determined that an Excel platform could not maintain service levels, and that was unacceptable.” They had a goal to increase their service levels while decreasing labor costs.

They considered hiring a big team of Disbursement Specialists, but with a fully ramped specialist handling 20-30 loans, this wasn’t a sustainable option to reach their goals. Instead, they chose to switch the tools there were using and said goodbye to Excel and hello to technology.

Having worked in the renovation and construction loan industry for 18 years, Brooks had heard of Land Gorilla and had seen a presentation or two at trade shows. He knew Land Gorilla by reputation and from other lenders. It was an easy choice to reach out to Land Gorilla and start the evaluation process.

The Solution

All stakeholders were present during evaluation. “When we had the initial meetings and the initial demonstrations (with Land Gorilla), we were just wowed,” says Brooks. “The entire team was there and I looked around the room and I saw people’s faces lighting up thinking, ‘Wow this is really going to help us scale our business.’ ”

The Sierra Pacific team was watching a demonstration of the Land Gorilla Construction Loan Manager which digitizes the construction and renovation loan management process with security and efficiency. “When we saw the ease and mobility and the functionality of Land Gorilla, we kept getting these ‘wow’ and ‘aha’ moments at the same time. Phenomenal,” says Brooks.

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