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HISTORY OF THE UNITED MORTGAGE BANKERS OF AMERICA (INCORPORATED)

Before the formulation of UMBA, there were not more than two blacks hired in any capacity by mortgage banking firms above menial jobs any place in the United States. After UMBA and the subsequent spin-off of new mortgage banking companies, mortgage bankers in cities such as Chicago, Illinois, Atlanta, Georgia, and Kansas City, Kansas began to employ blacks to solicit black business in order to stem the tide, growth, and threat of competition of Black-Owned mortgage banking institutions.

UMBA has served not only to build black business, but also create jobs in mortgage banking. This opportunity would not have been possible if it were not for the existence of UMBA.

Very little Federal housing legislation has been considered in the last three years without consulting the UMBA organization. Moreover, the organization has played an important part in a consultant role to the life insurance industry in its $1 billion program. Many of its suggestions and recommendations are reflected in the current life insurance lending policies. UMBA was instrumental in focusing the need of second income in the black family as a prerequisite and enabling black families to qualify for mortgage loans under both insured and conventional programs.

UMBA has cooperated with FNMA in implementing its correspondent program which would emphasize appointments of black correspondents with $5,000 net worth. As a matter of fact, UMBA is acting as an on-going consultant in reference to seeing that the correspondent program remains viable.

All 14 of the current approved FHA-VA are by-products of the National Association of Real Estate Brokers. UMBA's training programs are more-or-less a pipeline to black brokers for altering them to the opportunities in the mortgage banking industry. Since UMBA and NAREB have their annual conventions at the same time, UMBA has always furnished the expertise and seminars for educating and directing black brokers into the mortgage banking industry. Had it not been for this type of exposure, needless to say, there would probably be few, if any, black mortgage bankers in the field today. Because of its size, UMBA has been able to give in-depth treatment on the technical mortgage banking subjects at its various seminars which would have been impossible in larger settings. These training programs have been carried on by men who have given of their time, money and service without compensation.

When you consider the fact that there are over 3,000 mortgage banking firms in America and only 14 black firms, we can fully appreciate the need for training, education, and direction in this industry. Therefore, UMBA's objective and purpose for existing is to offer education and direction in what has been a void in the Black community.

Black approved FHA-VA mortgagees have increased 100% as a direct result of the efforts and training programs by UMBA within the last year.

In those cities where Black Mortgage Bankers operate, contract buying has decreased because of the increase of FHA funds being channeled through Black Mortgage Bankers and through white mortgage companies who belatedly recognized the potential of the market in the light of black competition.

[[image - black and white photograph of a man speaking at a podium]]
[[caption]] AT THE ROSTRUM: Secretary George Romney, United States Department of Housing and Urban Development. SEATED: Mr. Dempsey J. Travis, President, Sivart Mortgage Corporation; President U nited Mortgage Bankers of America; President, Travis Realty Co. [[/caption]]