Proprietary benchmarking
MSR surveys
A suite of monthly and quarterly surveys designed to help originators compare their key costs to peers and provide MSR valuation and modeling assumptions.
PwC’s MSR surveys include 30+ participants including 20 of the largest residential mortgage servicers. Currently the surveys are performed in two distinct tiers based on the size of unpaid principal balance serviced for others as follows:
Tier 1 (Large Servicer Surveys) – quarterly
- MSR multiple survey – benchmarks MSR multiples on a product and portfolio level including sensitivities to changes in interest rates and volatility
- MSR Assumptions survey – benchmarks key assumptions and modelling techniques for MSR assets including discount rates, cost to service, ancillary fees, prepayment modeling and mortgage rate modeling
- MSR initial cap survey – benchmarks MSR multiples for newly capitalized servicing utilizing theoretical loans for base and excess servicing across multiple key product types
Tier 2 (Medium/Small Servicer Survey) – semi annual
- Tier 2 MSR Multiple Survey – condensed version combining all 3 elements of the Tier 1 survey (multiple/assumptions/initial cap)
Please reach out to Steve Robertson for more information.
Mortgage cost origination survey
The mortgage origination cost survey is a monthly program designed to help mortgage originators understand how they compare to their peers in key cost and performance metrics across various channels and products.
- Understand performance
- Monitor trends
- Identify opportunities
Please reach out to Steve Robertson for more information.
Mortgage Retention Survey
The Mortgage Retention Survey is a quarterly program designed to help mortgage originators understand how they compare to their peers in key retention metrics across various channels and products.
Please reach out to Roberto Hernandez for more information.
CECL benchmarking studies
One time mortgage and credit card studies designed to enhance management’s ability to identify blind spots in its approach and explain differences in outputs across a peer segment.
Mortgage study
- The study will provide predetermined cardholder profiles and a representative residential mortgage portfolio. The study will also provide representative base case MEVs so that participants can align to their most similar model scenario.
- Upon running the sample portfolio through their set of CECL models, participants will provide PwC with model outputs, such as forecasted losses and loan performance curves in a predetermined format, along with responses to study questions.
- PwC will show the study results by participant on an anonymous basis, allowing management to visualize how their model results compare to peers.
Credit card study
- The study is designed to provide insight into how an issuer’s payment application methodology compares to peers for outstanding balances across a range of consumer profiles.
- For 14 predetermined borrower profiles, PwC will provide an initial balance and future borrower sales, balance transfer, cash advance and payment activity. The study will ask each participant to provide the expected outstanding CECL balance through 60 months using the anticipated CECL payment application waterfall methodology.
- For each borrower profile, study results will visually show how your CECL balance decreases over time as compared other participants, on an anonymous basis.
Please reach out to Steve Robertson for more information.