Top 4 Features of a Mortgage Lending Software Solution
The worldwide lending market is expanding at a tremendous rate with a compound annual growth rate of 13.5%. However, one can become overwhelmed when looking at loan servicing software options. A unified platform is often the ideal solution for enterprises with various point solutions or those looking for a better way to create new loan products.
Traditional loan portfolio management methods, such as manually tracking each borrower’s progress from application to repayment, are a thing of the past.
With that, each of the following top features delivers or contributes to concrete benefits for mortgage lending institutions:
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With automation, lenders can make informed judgments by smoothly integrating third-party technologies and vendors, bringing all the necessary components to the table to reduce turnaround times and errors.
Moreover, automating the lending process reduces procedures that cause delays in loan origination software because they rely on manual inputs.
2. Mortgage Loan Application Management
For the most part, customers would rather not deal with person-to-person transactions during the origination process. The option to apply for a loan online continues to grow in popularity with almost two-thirds of loan applicants using online services to fill out at least a portion of their loan applications. Good thing that it is now possible to complete the full mortgage origination process from the comfort of your own home, thanks to new technology. Lenders and borrowers can use this self-service channel to keep tabs on and manage their existing loans, making mortgage loan application management a breeze.
3. Loan Origination, Underwriting, and Servicing
Origination, underwriting, and servicing are currently the greatest hurdles for any lender. These procedures need considerable time. In addition, they require extensive human and analytic resources and are also the most prone to errors and liabilities.
Digital underwriting is no longer an option in the mortgage industry; it is a must with even the FHA using digital underwriting. Today, digitally automated loan underwriting is a typical approval method. With the most recent loan underwriting software, the borrower need only submit the required documents to the system to receive an almost instantaneous response.
A user-friendly, AI-powered platform for loan servicing automation can streamline lenders’ loan servicing processes. Using loan servicing software can assist in reducing the burden on lenders, underwriters, and borrowers by eliminating the need for tedious manual processes. Ultimately, lenders may provide great customer care to all consumers if they speed up the lending procedure.
The best mortgage loan software integrates loan origination, underwriting, and servicing. Additionally, it is essential to have a scalable system that meets your needs.
4. Reports and Dashboards
You can gain valuable insight into your customers by collecting data about them. A good loan origination software must be able to track your customers and their loan progress when they utilize it. Using this data, the lender’s choice of software should examine the app’s performance, reasons for competitive losses, and frequent challenges borrowers have during the origination process, among other information.
Using this data, you can shorten the time it takes to process an application, increase the number of applicants, and improve customer satisfaction.
The initial cost of investing in advanced lending software may be substantial, but the return on investment is far larger when the process gets carried out correctly. Examine how Fundingo can assist you.