MReport July 2017

TheMReport — News and strategies for the evolving mortgage marketplace.

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TH E M R EP O RT | 63 Adapting to a Tech-Heavy World Most lenders consider themselves "technology followers," rather than early adopters, according to an industry survey. F ollowing in the footsteps of other in- dustries, mortgage firms are starting to adopt new technologies such as Application Programming Interfaces (APIs) in order to reduce errors and costs and speed up transactions. Fannie Mae sur- veyed senior mortgage executives in Febru- ary through its Mortgage Lender Sentiment Survey to understand what lenders think about data strategy and innovation. Tracy Stephan, Director of Economic and Strategic Research at Fannie Mae, analyzed the data and noted the key areas where lend- ers are using new technology in a blog post on the Fannie Mae site. What Fannie Mae found is that although the industry has been slow to adopt, about three in five mortgage lenders agree that their firm is making the best use of data for their business. However, most lend - ers call themselves "technology followers," not early adopters, and less than half stated that the pace of technological in- novation in the industry has been too slow. Fannie Mae specifically tried to understand lenders' experi- ence with APIs and Chatbots. While around half of lenders surveyed are either using APIs in their processes or have used them on a trial basis, very few lenders have looked into using Chatbots. Lenders utilizing APIs said they do so primarily to integrate appraisal and verification information with their Loan Origination System. According to survey participants, loan production holds the greatest potential for APIs and Chatbots alike. Additionally, APIs may be used in the future to pay taxes and insurance. "Today's consumers demand a simple and streamlined experience in all aspects of their life," Stephan said in the post. "However, mortgage transactions are complex, involve many interdependencies, and require extensive collaboration. In other industries, APIs have become a crucial element of business strate - gies to deliver a seamless customer experience because they make data sharing easier." According to Stephan, APIs can reshape the industry by boosting efficiency and speeding up the mortgage process. "Lenders who do not expect to adopt APIs in the near future may well find themselves being pushed to the sidelines," she said. "Today's consumers demand a simple and streamlined experience in all aspects of their life." —Tracy Stephan, Director of Economic and Strategic Research, Fannie Mae THE LATEST LET NATIONAL TAX SEARCH THROW YOU A LIFE LINE 130 S Jefferson Street, Suite 300 Chicago, IL 60661 1.888.627.5494 National Tax Search consolidates Tax Reporting, Flood and HOA Management into one platform, and mitigates/minimizes your liabilities associated with these areas of real estate management: • 24/7 Secured Web-Based Service with optional API Functionality • Timely Reporting & Payment Processing • Assessment Details • Delinquent and Sold Tax Monitoring • Payment Processing • Tax & HOA Certification • Flood Zone Determination, including FEMA Map Overlays • Leader in Property Tax, HOA and Flood Determination SECONDARY MARKET

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