March 2, 2021
SBA Hot Topic Tuesday – 62% of Loan Closers Find Themselves More Productive in The Office
Polls conducted during the Coleman Report Live daily show provide valuable insight into the ways that the SBA lending industry has changed during the pandemic. According to the latest polls, more than half of SBA lenders anticipate being back to working from an office by the end of the year. However, not all SBA department professionals feel the most productive working from the office. Only 32% of underwriters say that they are more productive working from the office compared to 62% of loan closers.
Here are some of the other industry trends from last month’s polls:
- 62% of SBA lenders say that President Biden’s recent changes to PPP are only a minor inconvenience or have no impact on their lending.
- More than half of SBA lenders (51%) indicate that their ability to resolve certain hold codes via lender certification has improved the hold code resolution process. However, 51% say it has not had a significant impact and 9% say it has made the process worse.
- 2 out of 5 SBA lenders do not fully understand the SBA’s guidance regarding 1112 payments. As a result, 73% say that they are very frustrated with the agency.
- 35% of lenders relied on the availability of 6 months of 1112 payments when making new 7(a) or 504 loans, only to find out that the SBA will be adjusting 1112 payments due to insufficient funds.
- Most lenders (69%) indicated that over half of the PPP loans they have processed this year have been Second Draw loans.
- Only 2% of lenders indicate that they have not begun the forgiveness process on any First Draw PPP loans.
- 79% say that reopening PPP from January through March has had a significant impact on their borrower’s economic health.
- Around 96% of lenders say that they are still waiting for the SBA to approve forgiveness on some of their borrower’s loans worth over $2 million. Most lenders have had the SBA approve less than 25% of their forgiveness applications on loans over $2 million.
To receive the latest industry updates and participate in Coleman’s daily polls, please join the free Coleman Report Live daily show at 1:00 PM Eastern.