Report: Technology Spending by Lenders on the Rise
Mortgage lenders of all sizes are expected to increase their technology spending by 15 percent this year to $4.11 billion, according to the new MORTECH study. Why?
They’ve weathered the subprime collapse. And now, they’ve recognized that technology is a vital component in addressing the changes and challenges facing the mortgage finance industry today.
This rang loud and clear at MBA’s National Technology in Mortgage Banking Conference & Expo where I spoke to many CIOs and senior business executives who are looking for ways to use technology to their advantage. Questions about document management and workflow were at the top of their list.
Jeff Lebowitz, president of MORTECH LLC, said that mortgage firms will be playing catch up “on workflow integration and electronic document management.” Lenders can utilize electronic document imaging (AKA enterprise content management, ECM) with workflow to optimize and streamline the full range of mortgage operations, including origination, underwriting, post closing and audit, shipping and delivery and servicing.
Whether it’s regulatory developments such as the Dodd-Frank Act or seeking new ways to reach new customers, enlisting document management and workflow technology will play a key role in keeping lenders compliant and in the game.
Check back in a few weeks for a closer look at how ECM can streamline the review and routing of loan documents while integrating with an LOS. I’ll give you a guided tour on how ECM can not only shorten the lending cycle, but also how it makes the process more cost effective throughout each step of the loan – from origination and underwriting, through post-close and audit, to servicing and shipping and delivery.