A mortgage revolution is approaching, and preparation is crucial for success. Preparing for the mortgage revolution of 2021 requires companies in the mortgage industry to take an active approach to embrace the current trends.
There are several aspects of how the mortgage industry is changing for good, and most have been a direct result of the pandemic. Covid-19 has significantly impacted the mortgage industry, and these revolutionary shifts are expected to have lasting effects.
Companies that take advantage of these trends can foster considerable growth. Below is a list of the three stand-out mortgage industry trends and changes that can help in preparing for the mortgage revolution of 2021:
- New Technology – Advancing technology is practically the driving factor for this new mortgage revolution. Preparing for the mortgage revolution of 2021 requires the adoption and mastery of this new technology to make the most of it. Mortgage lenders that utilize new technology can more easily interact with and serve their borrowers successfully.
- Data Accuracy – As technology advances, the mortgage industry's reliance on data increases as well. Therefore, one of the main aspects of getting ready for the next mortgage revolution is implementing data accuracy systems. With accurate and streamlined data, mortgage lenders can minimize risk and error.
- Partnerships For Success – One of the most revolutionary mortgage industry trends and changes that are occurring currently is the rise in partnerships created. Companies that build strong partnerships with other companies and service providers are actively preparing for the mortgage revolution of 2021.
These stand out as the main 3 mortgage industry trends and changes at the moment. Companies that embrace these mortgage industry trends and changes are preparing for the mortgage revolution of 2021, and we'll discuss each of the trends in more detail.
How The Mortgage Industry Is Changing For Good With New Technology
Digital technology has practically changed the face of the mortgage industry as we know it, and this is especially true of the post-Covid-19 world. As the pandemic caused businesses in almost every industry to go virtual, technology needed to advance to keep up.
Covid-19 has permanently altered the way people use technology, which is a significant change for the mortgage industry. Because of the pandemic, people got used to doing everything from home, including buying property, applying for mortgages, and refinancing their homes.
One of the main ways the mortgage industry is changing for good is using new online tools for mortgage borrowing and lending. As a result, most people looking for a mortgage are exclusively seeking out mortgage lenders that can complete their mortgage BPO entirely online.
Consequently, mortgage lenders must adopt digital technology to stand out, remain competitive, and be desirable in the eyes of borrowers. An overwhelming 99% of mortgage lenders believe that technology and digitization can significantly improve the mortgage application process. The benefits driving this shift include, but are not limited to:
- Simplified & Streamlined Process – Shifting previously non-digital operations to digital platforms automatically simplifies and streamlines processes, especially if you're using good technology. With the perfect digital platforms, you can streamline operations for your company, which will increase efficiency and productivity.
- Reduced Closing Time – All processes are completed faster and more efficiently with automated programs and machine learning. Adding automated technology to your operations means you don't have to waste any time. As a result, you can reach closing earlier than ever before, which means that you can take on and serve more borrowers.
- Minimized Data Entry – Data entry is imperative for mortgage lenders to complete accurately and efficiently. Carrying out mortgage operations digitally can reduce the required data entry by integrating and connecting systems. Good technology will complete functions while entering and storing data for maximum efficiency.
Why Data Accuracy Is Imperative In The Mortgage Industry
Data accuracy is a must if you want to know how to get ready for the next mortgage revolution. Data must be accurate to ensure that your systems are correctly underwriting, sourcing, processing, and closing mortgages.
Technology advancements stand out as one of the biggest mortgage industry trends and changes for 2021, and data is at the center of all tech. These systems need high-quality, accurate data to function properly. Without accurate data, this state-of-the-art technology is useless.
Consequently, preparing for the mortgage revolution of 2021 requires mortgage lenders to implement additional measures that maintain data accuracy. As a result, not only are borrowers more likely to choose a mortgage lending company that features online mortgage application capabilities, but they also expect a seamless transaction from start to finish.
The key to making this process seamless is accurate data. Mortgage lenders can choose from a wide range of resources, tools, systems, and programs to keep their data accurate, high-quality, and safe. One of the most popular methods for the mortgage industry to ensure data accuracy is to use an outsourcing provider to handle data management and/or information technology.
Mortgage companies prioritizing data accuracy is one of the main aspects of the mortgage industry changing for good, which is a mutually beneficial advancement. Additionally, the need for data accuracy in mortgage software, programs, tools, systems, and applications will prompt further technological progress.
Creating Partnerships Is Key For How To Get Ready For The Next Mortgage Revolution
One of the biggest mortgage industry trends and changes that was prompted by the pandemic was historically low interest rates. This caused homeowners worldwide to want to refinance their homes, which meant a massive rise in demand for mortgage lending services.
As demand increased, mortgage lenders needed to embrace innovation to take on more borrowers without compromising the quality of service provided. Consequently, one of the keys for getting ready for the next mortgage revolution is for mortgage lenders to create strategic, strong, and beneficial partnerships with other organizations.
For example, partnering with an outsourcing company is a great way for mortgage companies to get ahead. Outsourcing has stood out as an incredible opportunity for several industries to take advantage of throughout the pandemic. Creating a partnership with another company, like an outsourcing provider, allows businesses to advance, succeed, and excel.
In the mortgage industry, outsourcing can help lenders better serve their borrowers and increase the number of borrowers that they have. Listed below are some of the services that the mortgage industry can outsource to a third-party service provider:
- Loan ProcessingAccountingUnderwritingFinancial CheckingDocument ExaminationPre-Closing & Post-ClosingTitle OrderingProperty AssessmentBackground InvestigationData Entry, Processing, Storage, & ManagementDocument Retrieval
These are some primary services that the mortgage industry can enlist from an outsourcing company, but there are more. With the help of a great outsourcing company, you have the resources, tools, technology, and expertise to get ready for the next mortgage revolution.
About Us - Rely Services
Rely Services is a premier outsourcing company that specializes in business process outsourcing services in the mortgage industry. At Rely Services, we have served the mortgage industry with our expertise in data and technology for over twenty years.
Rely Services knows that preparing for the mortgage revolution of 2021 will not be easy, but we can help. If you want to learn more about how the mortgage industry is changing for good and how to get ready for the next mortgage revolution, Contact Us Here today!