Mortgage Automation: Instantly Streamline Your Lending Process

by Tomi Pironti

The housing market has always been competitive. Realtors, mortgage lenders, and other industry professionals can use every edge they can get, including mortgage automation software and tools. These can streamline an already complex lending process, bringing confidence and peace of mind to borrowers and lenders alike.

Mortgage automation can enhance your services and help your business thrive. Here’s how.

What Is Mortgage Automation?

Mortgage automation refers to a constellation of automated processes associated with mortgage lending. Mortgage software can perform calculations related to loan amounts, interest rates, and more. This can be particularly helpful in the loan application process but can also be useful in calculating closing costs.

But this is only the start of what mortgage software can do. Many lending firms rely on mortgage automation tools to assist with essential daily tasks like:

  • Assigning roles and tasks to staff members
  • Reviewing documents for completeness
  • Verifying data
  • Providing status updates to borrowers
  • Coordinating underwriting services
  • Auto-filling fields on key documents

Additionally, mortgage automation software gives lending firms end-to-end visibility for their entire workflows. With tools like these, you can pinpoint areas that may be slowing the process for your clients. Once you know the problems, you can work on solutions to address them.

Most importantly, automation can enhance the human element of your business. Since you’re not getting sidelined by routine tasks, you’ll have more time to focus on your valued clients. Borrowers will likewise enjoy an improved customer experience and may be more likely to recommend you in the future.

How Does Mortgage Automation Software Work?

Many industry professionals already rely on a software platform as part of their business. What makes mortgage automation software different?

Automation relies on software or machinery to complete processes with little to no human involvement. The best software platform will work alongside your team without needing their direct input. This saves you time and also makes your job more enjoyable since you won’t be drowning in paperwork or other types of “administrivia.”

How is this possible? Today’s mortgage automation software relies on a variety of technologies. These include:

Artificial Intelligence (AI)

Artificial intelligence (AI) enables software to learn and mimic the human mind. This is sometimes referred to as “machine learning.” AI software can be used to solve complex problems based on past user input.

Rules-Based Systems

In a rules-based system, specific actions occur when triggered by other directives. For example, once a particular phase of the mortgage application process is complete, the system can send a status update to the borrower.

Robotic Process Automation (RPA)

Robotic Process Automation (RPA) tools rely on software “bots.” These bots perform repeatable, rules-based digital tasks. It’s like having an extra set of hands for covering routine administrative needs.

Application Programming Interface (API)

An API allows two software platforms to exchange information with one another. Lenders can now integrate multiple systems under one platform. Doing so streamlines their workflow and can reduce errors.

The Benefits of Mortgage Automation

For some mortgage companies, automated software might sound like something out of Star Trek. But the future is here. Adapting to this technology can provide you and your team with surprising benefits.

Here are ten unique advantages of adopting an automated software platform:

1. Save Time

Mortgage automation saves time. Face it — the lending process can be complex. Many of the steps involved in responding to loan applications can be tedious. An automated system can complete these repetitive tasks for you so you’ll be free to focus on everything else. 

Likewise, borrowers can expect a rapid turnaround throughout the loan process. This speed can give you an edge over your competitors.

2. Focus on Your Clients

The mortgage industry requires a human touch. But many loan officers struggle to balance their administrative duties with the kind of personal attention that borrowers expect. 

By saving time on administrative details, you’ll have more time to devote to your valued clients. Chances are that your clients will appreciate this level of customer service, and they may be more likely to recommend you to their friends.

3. Reduce Errors

While no system is error-free, automated software can greatly reduce the kinds of errors that can creep in during the lending process. Sometimes, eliminating manual data entry can cut human error. But software can also screen documents and perform advanced calculations for you. This can be particularly helpful during the closing process.

4. Enhance Your Fraud Detection

Fraud can waste your time and cost you money. Sadly, so can fraud detection. But mortgage automation software can streamline this process as well. The most advanced systems can help you evaluate loan applications, scan important documents, and more. 

By performing due diligence, you can pinpoint scammers before they get a foothold in your business. This also reduces the likelihood of “false positives.” Genuine applicants won’t be rejected due to an error in your fraud detection system.

5. Save Money

For company managers, an automated system allows your team to work at peak efficiency. With an automated system, you don’t have to worry about man-hours going to routine administrative tasks. Instead, you and your staff can focus on the kinds of activities that generate revenue. 

Additionally, when you weed out errors and fraud early on, you’ll prevent the kind of waste that comes from addressing these problems.

6. Grow Your Business

Now that you’re working faster, you’ll be able to take on more clients than ever before. Combined with the savings you get from this technology, your cash flow can improve dramatically. This extra money can be reinvested in your business. 

The extra cash flow can be used for a variety of things. You might consider the kinds of capital improvements you need to take your business to the next level. Or you might use the extra money for a new marketing strategy, or even consider hiring a marketing director to help expand your reach.

7. Integrate Your Systems

Typically, lending institutions rely on a variety of software platforms to manage their business. But the right mortgage software can integrate these disparate platforms. 

The right system can allow you to manage your employees, complete complex calculations, and monitor your workflow, all within the same system. This makes it easier for all team members to be on the same page throughout the lending process.

8. Forge Better Relationships with Other Industry Professionals

Mortgage loan officers work side-by-side with other industry professionals, especially realtors. Your software provides you with complete end-to-end visibility. This helps you introduce real estate agencies to your sales pipeline, which may make them more likely to partner with you. 

By relying on a state-of-the-art solution, you’ll remain in charge, guiding the relationship between you, the realtor, and the client.

9. Gain a Competitive Edge

Mortgage automation software can make you the fastest game in town. But these digital solutions are about more than mere efficiency. 

With an advanced system handling your administrative processes, you’ll be better equipped to network with others. And with more time on your hands, you’ll deliver a superior quality of customer service. This can give you an edge over your competitors and bolster your reputation among other industry professionals.

10. Improve Employee Retention

It’s no secret that employee quit rates have been rising. Many employees change jobs in search of better salaries or the chance to learn new skills elsewhere. Having the latest software package may help you attract and keep top talent. 

After all, you can introduce your staff to a whole new way of doing business thanks to the advanced features of a mortgage software system. With the money you save by implementing this system, you may be able to increase salaries or evolve benefit packages.

Provide a Better Borrower Experience

Borrowers approach the lending process with uncertainty and anxiety. As a loan officer or lending institution, it’s your job to put them at ease. No software package alone can do that, but with the right tools at your side, you’ll be better equipped to deal personally with each borrower.

For one thing, you’ll have more time to devote to individual clients. This allows you to build the kind of relationship that engenders trust in you and confidence in the process. Now that you’re not bogged down by administrative details, you can keep your focus on your clients’ needs.

This kind of sustained attention pays great dividends. Your clients will remember the kind of service they received and may be more likely to recommend you to other home buyers. In an industry that thrives on relationships and word-of-mouth, this can go a long way toward solidifying your reputation.

Make the Most of Your Workflow

Want to take your lending practice to the next level? Consider the benefits of the BNTouch platform. Our innovative customer relationship management (CRM) tools can help with every aspect of your business. Integrate and streamline your core processes and find help with marketing, collaboration, and more.

Request a demo today, and discover how BNTouch can transform your lending business.

Request a free demo

Tomi Pironti
Request a Demo
Try BNTouch's marketing automation platform for yourself