The acquisition will help Evolve offset the severe shortage of mortgage underwriters that has been created by the current refinance cycle, the company says in a release.
The Veptas platform streamlines appraisal ordering and enables home lenders to utilize technology to adhere to appraisal independence requirements put in place following the financial crisis.
In addition, it performs quality assurance and quality control functions that are typically handled by the loan underwriter.
Evolve acquired the platform from Veptas Holdings Inc., the parent company of Veptas Technology Solutions and AiCurio. A name change is being made by Veptas Holdings Inc. to AiCurio Holdings Inc.
“The historic refinance wave that the mortgage industry is experiencing has put a significant strain on limited underwriting resources and created a massive bottleneck in the loan production process,” says Paul Anselmo, CEO of Evolve Mortgage Services. “Evolve has made great strides in reducing the bottleneck through automation and by bifurcating the underwriting process and moving some functions to other skilled professionals in the process. The Veptas platform will enable us to automate QA and QC functions that had been performed by underwriters and accelerate loan production even more.”
Bill Reese, the head of operations at Veptas Technology Solutions, joined Evolve as part of the deal.