Lee Smith on industry outlook
From Lee Smith talks about Flagstar's growth strategy for 2024 · · HousingWire
“I don't like the expression 'survive until 25' because it ignores the important growth and market share that we can take in 2024; Flagstar has been in the mortgage industry for 35 years and is not going anywhere—we will be around in 24, 25, and beyond to serve our customers.”
On , Lee Smith, Senior Executive Vice President & Chief Financial Officer at FLAGSTAR FINANCIAL INC, spoke about industry outlook during Lee Smith talks about Flagstar's growth strategy for 2024 on HousingWire.
About Lee Smith
Lee Smith, president of mortgage at Flagstar Bank, discussed the company's strategy for 2024 in a September 2024 interview. He stated that Flagstar, following its merger with New York Community Bank and acquisition of Signature Bank, has become a $110 billion bank with increased scale and capital. Smith described the company's approach as focusing on being a "one-stop shop" for the full mortgage lifecycle, including origination, servicing, subservicing, and warehouse lending. He noted that Flagstar has reduced its cost infrastructure by 65% from its 2021 peak to adapt to market conditions, and said the company aims to grow market share in a "safe and sound manner" rather than pursuing rapid expansion. Smith rejected the phrase "survive until 25," asserting that Flagstar has been in the mortgage industry for 35 years and will continue serving customers. In earlier appearances, Smith emphasized the importance of customer service, trust, and creative thinking in competing with larger banks. He highlighted Flagstar's diversified mortgage model, which includes a balance sheet and RMBS program, as an advantage in navigating market shifts from refinancing to purchase mortgages. Smith also discussed the company's growth in warehouse lending, reaching $10 billion in commitments in 2021, and its ability to fill gaps created by regulatory changes. He attributed successful leadership to accountability, teamwork, and avoiding ego, and stressed the value of empowering employees and maintaining work-life balance.