MIAC's Integration with New API and Product Grid Brings Greater Clarity and Competitive Pricing to Originators

MIAC Analytics™, a leading provider of proprietary secondary marketing technology, has announced an integration with Fannie Mae's Mission Score API and Mission Score 2 and 3 product grids. This integration aims to enhance market pricing transparency and support Fannie Mae’s mission of providing affordability, liquidity, and stability to the housing market.

Overview of the Integration

• Mission Score API: Fannie Mae’s API aids mortgage lenders and investors in identifying valuable lending opportunities with significant social impact.
• MIAC Analytics’ Role: Utilizes its extensive experience to enhance the granularity of pricing offered by Fannie Mae on MIAC's platform, MarketShield®.

Benefits of the Integration

• Loan-Level Mission Index Information: Provides associated pricing to help mortgage originators increase margins and pass along improved borrower pricing using MIAC software.
• Better Market Pricing Transparency: The integration allows clients to realize additional pickup by enabling better executions in a competitive market.

Statements from Key Executives

• Fuad Nasir, Director of Secondary Solutions at MIAC: Highlights the strategic advantage of the integration, noting the potential for significant price improvements in mission bonds.

How the Integration Works

• Seamless Integration: MIAC clients need to share a few additional fields from their Loan Origination System (LOS) or pull using their LOS integration.
• API Response: The Mission Score, used to price loans in MIAC's pricing and hedging software, has shown an additional price improvement of 20-90 basis points relative to standard products.

Industry Impact and Future Prospects

• Market Impact: Industry estimates indicate that 15-20% of production will go into mission bonds, highlighting the importance of this integration.
• Enhanced Execution: The integration ensures better execution and transparency in secondary market transactions, benefiting both mortgage originators and borrowers.

The integration of MIAC Analytics with Fannie Mae's Mission Score API marks a significant step towards better market pricing transparency and enhanced execution in secondary market transactions. By leveraging this integration, mortgage originators can achieve higher margins and offer improved borrower pricing, supporting Fannie Mae’s mission of providing affordability and stability to the housing market.