September 30, 2019
September 2019 Event Takeaways
We’ve aggregated key takeaways from all September’s big events to help you stay well-informed on the latest trends and hot topics in the industry. September 2019 was a whirlwind of major industry events, including MBA’s Risk Management Forum, ABS East, Digital Mortgage 2019, the 2019 Five Star Conference and Expo, and ACUMA 2019 Annual Conference. We know you probably couldn’t hit them all, but keep reading to find out what you may have missed.
1. AI and automation driving changeThe first technology automation hit mortgage markets 25 years ago, but there is still great potential to leverage automation and AI to facilitate improvements in process for borrowers and lenders. Nearly half of respondents at the Digital Mortgage Conference think AI will have the greatest impact on underwriting, while 24% anticipate a greater impact to customer acquisition. At ABS East, panelists discussed the demand for automation in the Broker channel, which has lagged behind the industry over the past decade. With the rise of Broker-focused tech, the wholesale-market share is expected to nearly double in the next year.
2. Greater investment in customer experience neededRecent survey findings show borrowers expect a one-stop shop for buying, financing, improving, and selling their homes, and they want channels of communication to all parties – realtor, loan officer, contractor – to be digital. While consumers are demanding digital experiences, few in the financial services arena have developed and executed a complete end-to-end digital strategy.
3. Digital processes helping reduce riskPresenters at MBA’s Risk Management Forum confirmed that mortgage fraud is on the rise – but advanced tech solutions are helping stop fraudsters in their tracks. Lenders and servicers are using loan data to identify and halt fraud schemes, proactively manage default risk and monitor portfolio trends.
4. Shifting real estate market trendsLenders, realtors, iBuyers, lead providers, and Big Tech are competing and also collaborating to acquire and serve customers. Single-family rental and investment continue to evolve. Assets can be increasingly harder to come by, but rumor has it that REO could be on the rise.
5. Regulatory reform finally underwayHousing finance reform was top of mind, with the administration’s plan for GSEs and QM Patch being in the forefront of the discussion. Advocacy groups in the industry have called for changes to the QM framework prior to expiration of the QM Patch. Although adoption of a new accounting standard does not exactly fall under the topic of Regulatory Reform, FASB’s CECL (Current Expected Credit Loss Model) is receiving a great deal of attention as the first wave of adopters are slotted to go live in January 2020. Presenters at ABS East discussed the impact of CECL, concluding that the Model will likely result in increased use of CRT and securitization.
Minority Household Growth is an Opportunity for Mortgage Lenders
Read about the growing segment of minority borrowers and see how lenders can better serve their homeownership needs.
7.9% Year-Over-Year Increase in Median Prices According to the New Radian Home Price Index
In data released in September 2019, the Radian Home Price Index (HPI) showed a 7.9 percent year-over-year increase in median values.
4 Strategies Servicers Can Utilize to Keep Default Rates Low
Read key strategies servicers can use to keep default rates low in the mortgage landscape of changing regulations and increased transparency.
Understanding Alternative Valuation Types
There are a variety of valuation products on the market that vary in complexity. Read more about the different valuation options available.
REO Manager’s Sales Checklist
Read our essential checklist for servicers and REO managers to efficiently prepare their assets for sale to compete in the market.
Top Takeaways from the 2019 Structured Finance Industry Group Conference
Read our key takeaways from the 2019 Structured Finance Industry Group conference in Las Vegas, Nevada.
Top Takeaways from the 2019 MBA Annual Convention
Read the top takeaways from the 2019 MBA Annual Convention delivered by the top mortgage and real estate finance industry leaders.
5 Key Takeaways from the 2019 MBA Secondary
Read our key takeaways from the 2019 Mortgage Bankers Association's National Secondary event in New York City.
Title and Technology: How People and Robotics are Working Together to Improve the Title Industry
Read how the title insurance process can be further supported by Robotic Process Automation (RPA) with Attended Bots.
5 Reasons to Refinance for Homeowners
Read five key benefits to share with your borrowers on why refinancing their mortgage can be one of the best financial decisions they make.