Google
 

Click here to print this section. Print Entire Article
Click here to discuss this article. Discuss This Article

Reporting Geographic Concentration Statistics

Once the necessary servicing or purchased loan data is available, the investor runs a geographic concentration report that generates geographic concentration statistics by seller. Geographic concentration reports vary depending on the reporting needs of the investor. The geographic concentration report detailed in this article is intended to fulfill an investor requirement to report a seller's month end total active servicing geographic concentration percentages.

Creating the Report...
Seller Active Servicing Geographic Concentration
The seller's active servicing geographic concentration is the seller's active servicing dollar amount by state divided by the seller's total active servicing. The following steps generate a report of the seller's active servicing geographic concentration.

Step #1
The seller's total active servicing is calculated.

The seller's total active servicing is equal to the sum of the principal amount of all loans in the investor's servicing portfolio, for the seller, where the loan's status is Active, Repurchase, Bankruptcy, Foreclosure, Prepayment or Early Payoff. Typically, the only loans excluded by an investor when calculating the active servicing for a seller are those that have been sold servicing released by the investor and paid in full loans that are not considered early payoffs.

Step #2
The seller's active servicing by state is calculated.

The seller's active servicing by state is equal to the sum of the principal amount of all loans in the investor's servicing portfolio, for the seller, by the loan's state where the loan's status is Active, Repurchase, Bankruptcy, Foreclosure, or Early Payoff.

Step #3
The seller's active servicing Geographic Concentration percentages are calculated.

In this step, the report retrieves the seller's active servicing dollar amount from Step #1 and the seller's active servicing by state, from Step #2. The report compares the total servicing amount from Step #1 to the servicing amount by state from Step #2 and reports the results as a percentage.

A seller geographic concentration report similar to the Sample Seller Geographic Concentration Report in the Sample Geographic Concentration Reports section of this article can be generated by the investor for distribution to the seller.



Page 1  2  3


Suggest Site Content
Articles