Last year, the outbreak of the coronavirus pandemic changed many things. As we deal with its effects, many companies have had to alter their processes to stay profitable and keep up with their competition. Technology has been utilized like never before and we can only expect this to continue into 2021. The mortgage industry has been no different and many brokers have implemented new technology that has helped to fix many problems companies faced when the pandemic started. Let us look at three trends in mortgage tech that brokers and consumers should look out for in 2021.
24/7 AI Service
AI chatbots have been on the rise over the last decade, but this pandemic really expedited their use in the mortgage industry. It has been done to lessen the risks that come with face-to-face communication. Chatbots are also available 24/7 making it really convenient for consumers looking for information on their mortgage. For example, if someone works during the operation hours of their mortgage broker, they can still talk with someone and get the information they need. Another important benefit of AI chatbots in the mortgage industry is their ability to reduce costs that come with having effective customer service channels. This department used to need many employees to deal with customers and their problems. After the initial purchase of the AI system, this technology will start to pay for itself. It is definitely an investment for the future, but this technology is still growing and will see continued use in the future. I expect to see its effectiveness increase and its cost decrease within the next few years.
Fully Digital Mortgages
In the past, obtaining a paper-less mortgage without meeting a loan officer would seem unheard of, but this is the world that we live in now. Every part of the mortgage application process can now be completed digitally. This has been a revolutionary upgrade for mortgage brokers. Convenience has been increased tenfold for borrowers, while costs will drop for brokers. I can see many other business transactions being altered to fit a more online setting. It’s definitely what the consumer wants and that’s what companies strive to give to create their competitive advantage.
One company that saw many successes in 2020 and will see even more success in 2021 is Zoom. The virtual conferencing company has been used from everything to business meetings to online schooling. One relatively underrated feature of Zoom is its ability to be used to give virtual tours of properties for prospective home buyers. With Covid-19 and its social distancing protocols, many were unable to do things like this which really interrupted the purchasing process. This technology allows tours to be done virtually from the protection of your home.
Written by Kourtney Manley, Business Analyst at OnlineApplication