Home Prep for Mortgage Loan Originators

For Mortgage Loan Originators (MLOs) who want to refer clients with obstacles preventing them from getting a mortgage to trained HUD Counselors who will get them mortgage-ready. Then, the client is referred back to you!

MLO's, are you ready for HomePrep?

HomePrep:

Benefits,

Preparation,

Sign-Up!

Both the Clients and the MLO Benefit from HomePrep!

Mortgage loan originators (MLOs) quickly learn that many clients face obstacles that prevent them from securing a mortgage. When business is slow, there’s time to help clients navigate these challenges. But when the market picks up, it’s nearly impossible to give every client the attention they need to become mortgage-ready.


Surprisingly, many MLOs either refer these clients elsewhere or, worse, turn them away simply because they don’t know where to direct them for help.


The solution? HUD-approved housing and certified credit counselors. These professionals work closely with clients, guiding them through renting, buying, and staying in their homes.


Enter HomePrep. This innovative online platform seamlessly connects MLOs and their clients to trusted HUD counselors who specialize in resolving mortgage roadblocks. The best part? Once a client is mortgage-ready, the MLO receives an update, ensuring they don’t miss out on a future loan opportunity.


While clients are free to choose any lender, you, as the referring MLO, can offer a Memorandum of Understanding (MOU)—providing a credit of up to $300 toward closing costs if they return to you for their mortgage.


How HomePrep Benefits You as an MLO:

✅ Your client receives dedicated support until they are mortgage-ready.
✅ You get regular updates from the HUD counselor, keeping you and the referring realtor in the loop.
✅ Once mortgage-ready, your client is reminded of your referral and incentive to work with you.
✅ You build a steady pipeline of future mortgage clients—all guided by trained HUD professionals who help them overcome obstacles to homeownership.


By partnering with HomePrep, you’re not just referring clients—you’re investing in an assurance that if they do the work needed, they can become a homeowner!


HomePrep Testimonial

My wife and I met with Matthew with National Foundation for Debt Management (NFDM.org) on Thursdays once a week like clockwork. We would learn in detail how to fix our credit. He would set attainable goals that you can reach and feel better about yourself that you are accomplishing something even if it's small. We learned everything has a positive outcome with Matthew. He paid so much attention to detail and you felt you were really listened to and valued and never judged… your question was answered with respect. Matthew helped us achieve our life goal at 50 years old of owning a home for the first time in our lives. 


Please tell Mathew we miss him and without him, none of this would ever have been possible. 



- Chris and Valorie, clients of HomePrep

How MLO's Overcome Objections to HomePrep When Clients Are Unsure About Proceeding

As a Mortgage Loan Originator (MLO), you often encounter clients who are not yet ready for a mortgage. They face hurdles like poor credit, student loan debt, and insufficient down payment. Addressing these challenges requires a comprehensive approach.


Offering an alternative to a client who you've just told isn't quite ready for a mortgage yet can be uncomfortable for you and them. A loan originator offers thoughts to encourage your client to take advantage of HomPrep services for their benefit.


Documents Needed Upfront from MLOs and Their Clients to Review and Sign

Under the guidance of the National Foundation for Debt Management, clients receive tailored support to become 'mortgage ready.' Essential to this process are two key documents: a Client Authorization for Information Release and a Memorandum of Understanding, both requiring signatures from the client and mortgage loan originator (MLO) for portal upload.


What's  in the Memorandum of Understanding (MOU)?
The MOU signed by the MLO and  their client shows:
1)costs paid upfront by the client for HUD counseling services
2)loan originator costs paid to use the HomePrep portal
3)a credit ($0-$300)that can come from the loan originator and be applied towards closing costs services rendered, if the client returns to the loan originator for their mortgage.


Both the MLO and client sign the 2 documents that can be downloaded on the right:

  1. Client Authoriz. to Allow the MLO to Release Financial Info to 3rd Party
  2. Memorandum of Understanding (MOU)

Costs for HomePrep, Who Pays, and an MOU Credit to the Client 

  • HUD housing counseling services are proven to be beneficial to prospective purchasers who pay the initial cost of $99 to work with HUD counselors through HomePrep. If the client completes their HomePrep process, the $99 fee they paid upfront is refunded to them.


  • The MLO pays for a HomePrep yearly license and a per-client fee.


  • The MLO can also provide a credit to the client ($0 to $300) through the Memorandum of Understanding (MOU) completed and signed by both the MLO and the client. This credit is only applied if the client returns to the referring MLO for their mortgage.


  • When the client is mortgage ready, the HUD counselor notifies the referring MLO.

MLO Cost to use HomePrep


  • Yearly fee of $250 and a fee of $25/per client is required.


MOU Credit Can Be Provided to Client


  • The MLO and the client can sign a Memorandum of Understanding (MOU) that provides a credit of $0 to $300 from the MLO to the client's mortgage closing costs if the client returns to the referring MLO for their mortgage.



Client Cost to Use HomePrep


Standard NFDM HUD Counseling Service Costs:


  • $99 fee for HomePrep Services (paid by client)


  • $99 credit to client at the completion of HomePrep


SDS Student Loan Repayment Plan cost:


  • Client only pays if they proceed with a repayment plan.


  • Standard: $60 for prefill, document preparation tools and ability to chat with expert in student loans.


  • Premium: $160 cost and includes help from Student Loan Counselor.

MLO's: Ready to start HomePrep? Schedule a demo now!

HomePrep is the MLO resource to get clients with issues that need to be fixed connected to HUD counselors who can get them mortgage-ready. Contact us  today for a demo!

Once You've signed up...

HomePrep Tutorials   

Click here for more tutorials...

1.Upload file manually or import 3.4 xml

Indisoft Project Mgr. shows how to Create a Case by manually inputting a loan file or uploading a 3.4 xml file.

2.Where to Upload Documents

Note: credit reports may not upload successfully due to privacy protection applied. If upload attempted, check to insure credit report specifically is in Documents before exiting.

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