When the new subservicing agreement between Rocket Mortgage and Annaly Capital Management, Inc., takes effect, the largest mortgage lender in the country and the largest residential mortgage real estate investment trust will be testing artificial intelligence’s (AI) mortgage servicing potential on a much larger scale.
Annaly held mortgage servicing rights (MSR) for approximately 608,000 loans, totaling $192 billion in unpaid balance and $2.8 billion in market value as of June 30, according to a press release. Under the terms of the agreement, Rocket Mortgage will handle all servicing and recapture activities for a portion of that portfolio, beginning in December.
“Rocket is committed to the entire homeownership experience from budgeting and credit building, to home search, financing and servicing,” Rocket Companies Bill Banfield said the release. “We truly believe in building relationships with our clients that last a lifetime – whether through new mortgages or servicing loans. We are honored to be working with Annaly and look forward to providing their serviced clients the same exceptional experience that has made Rocket a perennial recipient of J.D. Power’s servicing award.”
Rocket Mortgage said its high marks in customer satisfaction stem, in part, from the efficiency and productivity afforded by its utilization of AI tools, designed to solve client concerns faster than traditional methods.
“Annaly is pleased to enhance its mortgage servicing rights platform with our new relationship with Rocket,” Annaly President and Chief Operating Officer Steve Campbell said in the release. “We are proud to have constructed one of the most durable and high-quality portfolios of MSR in the market and this partnership will allow us to benefit from Rocket’s industry-leading servicing capabilities and retention rates. We are excited to have access to the best-in-class experience that Rocket is known for, which continues to improve given their ongoing investments in technology.”
The company projects its new AI tool, Synopsis, could save more than 45,000 hours per year by eliminating the need to complete tedious tasks, providing more time staff to concentrate on relationship-building with homeowners.
Rocket Mortgage is set to begin servicing loans for Annaly in December.