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Top 3 Things to Look For in a Third-Party Review Due Diligence Provider

Employee shaking hands with a mortgage due diligence provider

This month marks the biggest bank failure since 2008, according to HousingWire. Between the collapse of Silicon Valley Bank, the declining mortgage rates that followed, inflation, and staffing issues, today’s mortgage market is buzzing with uncertainty.

But your due diligence process doesn’t have to be.

With the right third-party review (TPR) due diligence partner, you can ensure compliance, improve risk management, and maintain a process that gives you confidence.

The question is: how do you choose the right partner? Here are three things to look for when evaluating providers.

1. Deep Expertise

The experience of a potential mortgage due diligence partner’s staff should be top of mind. Look for an organization whose well-trained employees have a broad understanding of loan types and investor guidelines as well as a wide range of skills, including underwriting, compliance, and collateral assessment.

This expertise may be assessed by reviewing staff resumes. It may also be validated by external rating organizations like DBRS Morningstar, S&P Global Ratings, Kroll Bond Rating Agency, and Fitch Ratings. These rating agencies evaluate TPR firms’ knowledge, experience, and compliance with a broad range of criteria around staffing, infrastructure, and capabilities. Legitimate providers with a knowledgeable staff will have a high number of acceptances from rating agencies like these.

2. Diverse Experience & Offerings

The mortgage process is multifaceted and complex, which is why the best TPR due diligence providers are not one-trick ponies. They have experience with all standard agency product types as well as more niche ones – like non-QM, DSCR, and consumer loans. And with this diverse experience comes a wide variety of offerings – from securitization reviews to trailing document services to forensic fraud reviews.

With a one-stop shop as your TPR due diligence partner, you gain several benefits. For instance, working with a single vendor is much more convenient than working with multiple partners. Rather than having to call multiple people at different companies for assistance, you can get your questions answered with just one call to one vendor.

Want to learn more about the services an ideal mortgage due diligence partner will offer? Download our TPR Due Diligence Provider Evaluation Guide today!

3. Sophisticated Technology

Last but not least, take technology into account when evaluating mortgage due diligence providers.

Industry experts predict there to be a continuing focus on digital tools in 2023 – and for good reason. With a state-of-the-art due diligence platform, you can achieve the transparent, efficient process you deserve.

Look for a TPR due diligence provider who offers access to an intuitive platform with multi-tenant access levels. With this feature, investors, issuers, sellers, and your due diligence partner will all have the ability to view file statuses in real time, at the same time. It will not only give you insight into your partner’s process, but also give you confidence that work is being conducted in a thorough and timely manner.

Find Your Due Diligence Partner Today

With unmatched due diligence experience, the MetaSource Mortgage Team has the knowledge and expertise needed to provide quality TPR services. Our knowledge is bolstered by our proprietary due diligence platform MetaWorx®, which streamlines the process and provides clients with complete transparency as well as prompt, accurate reporting.

Our successful due diligence process has been acknowledged by rating agencies as well. MetaSource is one of a handful of TPR providers with a complete list of rating agency acceptances.

Interested in speaking with one of our mortgage due diligence experts? Contact us today. Not quite ready for a discussion? Download our guide for more insight into how to properly vet potential TPR due diligence providers like MetaSource.

Download your guide to evaluating TPR due diligence providers