Woodward noted before a near-capacity crowd that the "business is changing as we speak," and cited a trends toward consolidation, market volatility and technology as major factors in that changing landscape. "Industry consolidation is not unique to the real estate finance business," said Woodward, who is also chairman of Bank of America Mortgage. "It's happening in most service industries. As new mega-players are created on the strength of their brand and economies of scale, new niche players spring up daily, driven by their entrepreneurship, their knowledge of local markets or their technology skills.

"Market volatility has been our way of life," he continued. "Remember, we are an industry that has survived interest-rate swings from 6% to 18% and back again."

But what he termed the "most fundamental" challenge is the speed at which technology is changing the business and urged all in hearing distance to maintain focus on the fact that the Internet is nothing more than a tool to assist in the more productive pursuit of lenders' core businesses.

But if tech is the most fundamental challenge, the economy and the new political climate of Washington, DC must be the most obvious. "After this long period of economic growth, we may have to tighten our belts," he warned. "Plus, we are facing a whole new political arena and a Congress that is evenly split. This can spell gridlock or a new era of cooperation. Issues such as tax cuts affect our business on a daily basis, and we must have a place at the public-policy table." That being said, Woodward pledged a stepped-up effort in terms of the MBA's political activities.

It will be a challenging year, no doubt, not only for the MBA but the industry as a whole. "But we will embrace change," he told his audience, "and we will make it work to our benefit."

The MBA conference, which is being held at the Marriott Hotel & Marina, runs through Wednesday.

Instant Insights /

MBA President Kicks Off Convention With Call to Increased Political Action

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