Automation is the key to welcoming the future. It is undoubtedly the new wave of technological marvel, where one can rely on AI and Machine Learning to take care of the sensitive and cumbersome part of the process without relying on manpower or having to do it manually.
Automation in the mortgage or finance industry, in general, is the new wave of digitalization that every big name out there is trying their hands on. It is exactly like the ‘auto-pilot’ feature on a plane.
We, at Noema systems, have the expertise of creating customized software solutions according to your needs. We are taking a giant leap forward in the realm of automation in the mortgage industry. Hence, we have curated this list showcasing how you can automate certain procedures without any hassle-
1. Tedious Mortgage Loan Processing:
Based on all the credentials and reports you provided to your lender to get the mortgage loan, the mortgage lender will give you a loan estimate. That estimate is a multiple paged format document that can be overwhelming to certain users. Here comes the help of AI and automation, which you can make use of to ease the entire process. Based on that you can also compare offers from various lenders as well.
2. Managing Appraisals
An appraisal, in layman’s terms, is basically the valuation of a certain property based on various factors by an authorized appraiser. However, during the whole process of getting a mortgage, appraisals are a crucial but cumbersome process. Hence, to mitigate that one can make use of the various data analytics and AI to ease out the entire process and make it less prone to human errors. This not only makes the entire process efficient and fast, but it also saves the borrower some money as they longer have to reach out to an authorized appraiser.
3. Collection of documents
Back in the day, the collection of documents to process the mortgage used to be a paper-intensive task and used to rely heavily on manpower, which led to human errors as well. These days with the help of automation technology, lenders can create a customized portal for each customer where they can easily share and access their documents. Owing to that the whole process has become faster and more efficient, as both parties have full transparency regarding the status of the application.
4. Management of Title and Escrow
It’s high time now where the mortgage lenders need to work in tandem with their title and escrow partners to make the entire process smoother, faster, and more efficient. All the parties are required to work with more transparency and automation helps in speeding up the entire process. If they are not collaborating and keeping loose ends, then delays will occur and various processes will get stacked, giving the buyer a horrible experience. Hence automating the entire process using customized tools is the key to speeding up the entire process. Using this the lender can work efficiently with title and escrow companies and hence making the experience of the borrower more transparent and efficient.
5. Managing Disclosures
This one is especially beneficial for mortgage lenders. As lenders have to rely on authorized loan officers to prepare the necessary documents and then consequently send the closing disclosure to the home buyers, who take the mortgage loan. This, however, brings in the risk of accumulating various errors from their end. For instance, various errors such as underestimating some of the fees for the loans or at times overestimating them. In both cases, it’s the lender who has to suffer the whole ordeal.
Hence, automating this entire process will save both time and money and also ensure 100% accuracy within minutes. While doing it manually not only brings in the risk of errors, it is also time-consuming. Thanks to automation and AI, lenders can speed up the entire process, be free of any errors and assist the customers in a better way. Hence, automation is of utmost importance.
These are the 5 key mortgage processes that can be made more efficient and transparent by boarding the bandwagon of AI and automation. By reducing the cost of using manual labor and also mitigating the possibilities of any error, this is the future and everyone should adopt it with open arms.