What can be learned when the same group of lenders cooperate over the same time period to compare key metrics? The keys to high performance lending. Mortgage Cadence has worked with a group of customers for more than five years developing, refining, and presenting true peer-to-peer benchmarking results on five mortgage metrics we all agree are key to understanding high performance lending. The task seems simple enough on the surface: Look at the metrics, see how they compare over time, draw some conclusions, present the results, and box the project up until next year. The thing is, though, that the five-year period from 2012 through 2016 was a period in mortgage history like no other. The data keeps raising interesting questions as well as yielding interesting results.
More than 50% of your Cost-to-Close is labor, so monitoring this metric helps management focus their attention on those activities that are affecting production and dragging down profitability.