Subservicer benchmark survey shows 27-point gap between best, worst performers

Garrett, McAuley & Co., a banking and mortgage banking consulting firm, on Wednesday launched a benchmark measuring mortgage subservicer performance based on feedback from lenders, with results showing a 27-point gap between the highest- and lowest-rated providers. The PULSE (Performance, Usability & Lifecycle Servicer Evaluation) Subservicer Benchmark surveyed 53 mortgage banking firms nationwide on satisfaction, operational challenges and oversight practices across five categories: service quality, borrower experience, escrow and default handling, recapture and marketing support, and operational friction. Composite scores ranged from 53 to 80 on a 100-point scale, according to the benchmark, which the advisory firm described as the mortgage industry’s first independent comparison of subservicer performance rated by the lenders that use them. “Most lenders pick a subservicer based on a pitch deck and a reference call, then never measure the relationship again,” said Steve Stone, managing director at Garrett, McAuley & Co. Recapture and marketing support received the lowest scores among the five categories. Of the 53 respondents, 45 had 2025 Home Mortgage Disclosure Act...