Don’t Fear the Digital Future of the Mortgage Industry

Don’t Fear the Digital Future of the Mortgage Industry

The mortgage industry is in the midst of a digital transformation, which can either be feared or embraced as an opportunity. However, those on the front lines have been slow to adopt the tools made available to them, and even if the adoption rate of the newest technologies and automation was through the roof, there will still be a need for good, old-fashioned human mortgage advice for a large segment of the population. Lack of Adoption in the Mortgage Industry Much progress has been made over the last few years in implementing the latest technologies and tools to create a more automated and efficient mortgage application process. However, the adoption rate of solutions that pre-fill data that the institution already has is only 5%, and while 20% of U.S. lenders reported having an e-closing solution, the adoption rate is only 5%. The adoption is the struggle, and banks need to commit to people, process and technology.

Jennifer Stevenson, Director of Consumer Engagement at Ellie Mae, and Matt Dowd, VP of Product Management, both discussed the challenges of getting loan officers to use technology. Jennifer Stevenson recounted an anecdote about one of her co-workers during her own mortgage application, where she had to take the initiative to ask her loan officer if they had a more efficient way to transfer documents online other than by email. Matt Dowd recounted an anecdote about one of his co-workers during her own mortgage application, where she had to take the initiative to ask her loan officer if they had a more efficient way to transfer documents online other than by email. Dong Lee, Chief Operating Officer of DLC Group of Companies, said that the most important technological improvement is to offer clients the streamlined customer journey that they demand. He said that emailing a mortgage document is going to be taboo with the heightened sensitivity to securing customer data, and this wave is going to hit us, much like the sudden extinction of fax machines.