SFG Bancorp Expanding with Online Mortgage Lending Application

By Scott Eldredge, Hacienda Network Staff Writer

SFG Bancorp, located at 4309 Hacienda Drive, has developed and is now testing a new online loan processing application that for mortgage lenders and loan agents will take much of the work out of finding and processing the best loan for a customer.

When fully implemented by the end of the year, the application, known as SWEEP, will integrate all the processes needed to completely support online mortgage lending transactions. A process that now may take one to three days can be completed in as little as 22 minutes. SFG Bancorp expects to offer SWEEP as an online service first to other mortgage-lending institutions and eventually to consumers.

"We're offering this application to other mortgage companies in order to improve their efficiency and workflow," says Gabriel Beltran, CEO of SFG Bancorp. "There are approximately 40 to 60,000 full and part-time loan agents in the greater Bay Area. Our initial goal is to capture 2 percent of that market. We intend to streamline the loan process for them so they can experience first hand the benefits and cost savings this application offers. In time we intend to further simplify it so consumers can use it to process their own home loans, thereby reducing the total cost and time involved."

Currently the system is live and in beta testing in SFG Bancorp's Hacienda office and two other offices not related to the company. The next few months will see it rolled out nationally beginning with Nevada, Arizona, Washington, and Oregon. SFG Bancorp has filed applications for licensing nationally and intends to open across the U.S. in 2006-2007.

Beltran believes the mortgage industry is evolving toward a more commodity-based approach - what's the best loan at the lowest rate - and sees SFG's SWEEP application as a better tool for determining the answer and processing the application.

"Brokers and loan agents could be a lot more efficient," he says. "With our system they can locate better products more quickly and easily, and then discuss them with their customers. The benefit here is for the consumer. This is a $5 trillion industry with a lot of inefficiencies that have kept consumers from getting the best deal available."

SFG Bancorp, a Hacienda tenant since 2004, employs about 60 people but expects to grow to over 250 by the end of the year. In 2005 the company experienced a growth in revenue and net worth of 300 percent, a level of success it attributes to the strength of its management and cutting edge technology.

SFG Bancorp is a full-service lender and real estate brokerage with over 25 years' experience. The company can handle the entire real estate escrow transaction from purchasing to selling and lending. It can also broker loans that it does not itself offer. This means that if SFG Bancorp doesn't have the right loan, it will find it for you, and process the application if you have a few minutes to spare.

Photo: Gabriel Beltran of SFG Bancorp is leading a charge to redefine the typical mortgage company business model.

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