What NTP Means to Me...

I certainly haven't had the longest career and I don't have the most compelling resume in the title insurance industry. I've spent the majority of my 17 year career working on the agency side, most of that time spent working for a very small agency that still feels like home when I visit. I've entered orders, searched, examined, closed, funded, recorded, later dated, typed policies and remitted. Not to mention sales, making payroll and reconciling accounts. I don't think my story is very different from many of yours. Nobody sits in their third grade class and dreams about the day that they grow up and work at a title company. That said, we all found ourselves here, and I can honestly say that there is nothing I would rather do.

I've spent much of my career sitting in closing rooms, helping borrowers refinance or buy, sellers move on, and yes, sometimes listening to attorneys argue while realtors and bankers looked on while crossing their fingers. One thing though about this scene has always rubbed me the wrong way. Why is the person who handles all the documentation, funds and non-public private information the only professional at the table without a certification or designation? Think about it... The banker, realtor, attorney, heck, even the appraiser and termite inspector have certifications. To me, this is all about value.

I am important; I play an exceedingly critical role in protecting a sector of our economy that make up an 18% share of our nation's Gross Domestic Product, not to mention the single largest purchase most American's will make in their lifetimes. I would argue that there is nobody at that closing table who should be certified or designated more than the Title Professional. If we don't claim our value, who will?

Becoming an American Land Title Association (ALTA) designated National Title Professional (NTP) is one of the greatest accomplishments of my professional life. That said, the NTP doesn't make me valuable. Exactly the opposite. I AM VALUABLE, THEREFORE I NEEDED TO GET MY NTP. It is my duty to the industry that I love and hold near and dear to my heart to do whatever I can to preserve its place and secure its future. Getting my NTP designation is a declaration that I am valuable... Now it's your turn.

Illinois Land Title Association Annual Convention Wrapup

That’s it, it’s over, it’s all over.  Another ILTA Annual Convention is in the books.  Each and every year the outstanding staff of the association keeps finding ways to outdo themselves.  Michael and Darlene Lane along with Susan Tolley put in countless hours of work to ensure that the ILTA offers new and exciting venues and programs.  This year’s Convention at the iHotel & Conference Center in Champaign, IL was no exception.

The Convention began with the 4^th Annual “Agent’s Only” dinner.  Though this event is young, it’s hard to imagine a convention without the camaraderie that this dinner inspires.  We find ourselves in a challenging environment, but optimism was heard and a vision for the future is beginning to take shape.  Our industry and indeed our nation is best served with a strong and vibrant agency model and events like the “Agent’s Only” dinner show our memberships commitment to these great businesses. 

The following day began with Committee Meetings and the Board Meeting, after which the convention moved seamlessly into a panel discussion featuring two of our own. Frank Pellegrini, past ILTA President and past ALTA President and Dan Mennenoh, past ILTA President and current Chair of the ALTA Agents and Abstractors Section joined Leslie Wyatt of Softpro for a lively discussion of the regulatory environment, upcoming changes and the new realities of our industry. 

Later in the evening after wonderful PAC and Underwriter Receptions the convention transitioned into the Installation Banquet.  As the crowd thanked now Past President Walt Adams for his thoughtful leadership over the past year, we also congratulated incoming President Paul Presney, Jr and the others installed as leaders.  Always a special event, this Installation Banquet took on even greater significance as the association recognized 40 members in attendance who had completed either their ITP (Illinois Title Professional), IEP (Illinois Escrow Professional) or both.  The celebratory mood lingered long into the evening.

The final day of the convention kicked off with reports from Wisconsin, Missouri and Iowa as well as a report from ALTA and the DFI update.  I believe the highlight of the day was a mortgage fraud report delivered by Brad Geary of Housing and Urban Development and Lyle Evans of the FBI and moderated by Linda Grahovec.  This was a humbling look inside the criminal world of mortgage fraud.  This fraud is still happening and it is getting more complex.  It’s quite clear that we as an industry must remain vigilant against this ever present danger.  After lunch the convention concluded on a high note with a very informative and positive financial markets update from John Chapman of BSC Private Wealth Management.

On a personal note, I have made no secret of the fact that the ILTA Convention is a highlight of my calendar.  For me this event has always been about friendship and fellowship.  Coming together as friends to celebrate our commonalities instead of our differences for a few days is truly special.  I’ve made dozens of wonderful friends at these events and each year I add a few more to the list.  I hope to see many of you at the quarterly committee meetings in October as we begin to build the bridge to next year’s annual convention.   

Small Agents Deserve a BIG Voice

I have been in the business for 13 years, the bulk of those years have been spent within Small Title Agents. In short, Small Agents are different. We don’t have Order Entry Personal, HUD Prep Staff or Policy Officers… Small Agents have a “Donna” who does 13 different jobs before lunch and we have an “Annette” who searches, examines, types, closes, records and remits, while somehow finding the time to pay the office bills. Now I find myself an Owner of a Small Title Agency and I wouldn’t have it any other way.

I surmise that there are three main challenges that, while shared by Large Agents and Underwriters are magnified by our size, the first of which is Time Management. I simply do not have the time to keep up on every legal debate that challenges the industry. My time is spent logging orders, attaining new business, typing commitments, closing loans… You get the picture. Small Agents are lucky if they get to eat lunch, or even dinner for that matter, yet alone find time in their day to keep up on the progress of the latest Senate Bill that could potentially affect their Agency.

The second problem I see is a Lack of Resources. Yes, we do fine. Bills are paid, payroll met, remittances up to date. The real issue is that our small size means our human resources are limited. When you’re a company of 4 or 5 people, a busy day trumps all else. When we have a 7 closing day or a 12 order day… It’s all hands on deck! This lack of additional resources makes it very difficult for us to stay up to date on new regulations. Moreover, the lack of resources makes it difficult for Small Agents to plan for changes within our industry, as it’s harder to see them coming.

Third and perhaps the most unfair, small agents suffer from a Lack of Political Respect. Yes, the big boys underwrite us, but we aren’t them. Not only is our Industry a Cornerstone of our modern society, the role of the small agency is absolutely key to insuring the backbone of our nations economy. Our customers may love us and respect our opinions and we may be very well thought of within our City or County but the fact remains that alone we just don’t have the voice we need.

It is for all these challenges and more that I choose to be a member of the ILTA. Membership is the first step towards alleviating the great burdens of the challenges I believe we face. Membership and Participation within the ILTA allows me to focus whatever time I have on potential regulatory matters that are going to alter my business. ILTA gives me the added Educational resources that I need to keep my staff’s knowledge up to date in this changing environment. And most importantly, ILTA Membership and Participation gives me the Political Respect that I need to make sure that my livelihood and the livelihoods of my employees are being taken into consideration.

Make no mistake; the Title Insurance Industry is under attack from multiple sides. Small Agents, it has never been more important for our voices to be heard. I hope to see you on ILTA membership roles and indeed hear your thoughts on the challenges you face at meetings and conventions to come.

I'm Back!!!!

It's been a while and I'll be back with more of my rantings on the Title Insurance industry here very soon. Just wanted to show you all the reason I was away for so long! My baby girl Emaline...

Inspiration…

It comes from mysterious places, doesn’t it? I had just enjoyed a movie with my 9 months pregnant wife when I happened to notice a facebook message on my blackberry. My inspiration came from a simple reply to a status update in which a friend of mine was sad because her husband had gotten home from work after 10 PM. You see my friend’s husband just happens to be in management for a competing title company in the Chicago area, and yesterday was the famous Last Day for a Refi to Close and Fund. So, what was the reply that was the inspiration for this blog post? The reply read, “Gotta love the title business.”

Is this what the Title Business has become? Since when did we have to work 60 or 70 hours in a week to insure first lien? Shoot, is insuring first lien even what this is about anymore? I don’t want to be part of a business that forces us to work like dogs for our nightly bowl of kibble. The title business isn’t and shouldn’t be preformed in sweatshop like conditions. I’m ashamed that a small group of companies have changed the perceptions of an entire industry. I can’t tell you how many title company owners I have heard utter the phase that they are, “a family first company.” I guess that by “family first” they must mean their own. How can the ownership expect their staff to work from 7 am to 9 or 10 pm and still have a family life? Shame on you…

I remember the title business used to be about doing a good search of the public land records, providing an accurate commitment, closing and funding a transaction as per the lenders instructions and providing a clean title policy to the Lender and/or Owner. Now it seems as thought the business has changed into doing a quick search on the Internet, providing a clean commitment no matter what, waiving exceptions via credit reports or just because you don’t want to upset a client, preparing deeds and legal documents even thought it’s the unauthorized practice of law in Illinois and very much illegal, and finally closing whenever and wherever we can… Then maybe, once it’s all over with, you might get a policy a year or two later. Does this sound familiar to anybody? Shameful and sad.

I do love the title business, but I refuse to accept that this is what its become. Maybe I’m a dinosaur, maybe I’m out of touch, but maybe, just maybe I like going home to my family just as much as my customers do.

Reaction to ALTA’s Policy Licensing Initiative…

The American Land Title Association (ALTA) has been long accused to caring only about the interests of the Underwriters, or more appropriately, their Donors. ALTA is too slow to change, lacks the clout it deserves, and generally fails to inspire the rank and file in the title industry. For too long, ALTA has been nothing more than a Social Club for the CEOs and Vice Presidents of our Underwriters. I have to admit, that up until the last few years, I was in agreement with this line of thinking. You might ask, what has changed? Why am I now seeing some light at the end of the tunnel of these problems? Simple, I have gotten involved.

Our state Land Title Association’s are the backbones of ALTA. We are the support structures that give ALTA its strength to tackle the issues that affect us all. Now, it is true that I am often disappointed with the lack of speed with which ALTA works, but I attribute this to the general speed of Washington politics. Action comes slow, but in this marketplace, inaction as opposed to overreaction can be a positive thing.

I see the most glaring problem with ALTA being its lack interested parties. Our industry, especially when it comes to our agents, fails to take proper ownership in our Association. How is ALTA going to advocate for us when we don’t stand up and be counted. ALTA sometimes makes this difficult, with yearly membership fees, exorbitant pricing for conventions, and their confounding hierarchy, but the benefits of making your voice clear are abundant.

It is with great hope that I say I support the Policy Licensing Initiative. I hope that writing that $195 check to ALTA each year (or hopefully a bit of a larger check for membership) will force agents to speak up. Let ALTA know what is affecting your day to day business. Tell ALTA what current legislation will do in your marketplace and to your company. As much as I like Mike Pryor, he isn’t a mind reader and neither is the Board of Governors. They represent a segment of the industry but members and non-members alike must take some ownership in the importance of our national image and our national product. At worst ALTA now has a larger war chest to fight the battles that need fighting, but at best, ALTA now has a new pool of invested parties to lead us into the next generation of Title Insurance.

Looking ahead…

At the Illinois Land Title Association we are a month from our first Committee meetings of the year. Our new President Paul Cozzi would like to usher in a new age of mentorship within our industry. I firmly stand behind this initiative as without the mentorship of my first boss to the mentorship of my current ownership, I wouldn’t be were I am today. I can’t imagine a time when I will know all there is to know about Title Insurance, but I sure as heck can pass down the knowledge that I have gained over the years.

We are a hard industry to learn… Somewhere between office work and a skilled trade. I would ask all of my readers to help the younger employee within your company. Help them to gain the knowledge that you were taught. This is the same knowledge that will guide our industry for generations to come.

Have a wonderful Labor Day Weekend.