The latest Mortgage Efficiency Survey from Iress has revealed that whilst lenders are seeking efficiency gains from technology, many are holding back on investing.
The research found that more than half of lenders expect APIs to provide the most transformative efficiency gains over the next three to five years.
More than a third of lenders are considering or actively reviewing AI and machine learning technology to support their propositions, with just under a fifth likely to implement or already implementing this technology.
More than 75% of firms have already implemented or are considering the implementation of open banking.
The proportion of lenders considering voice activated services has fallen to 27% from 33% in 2018.
More than two thirds of lenders are either considering or have already implemented mobile services for their proposition features, with nearly half considering real-time instant messaging services for consumers.
Almost 60% of lenders are considering or actively reviewing doing so for intermediaries.
Over two thirds of respondents are also considering or actively reviewing mortgage hub technology.
In addition more than three quarters of lenders now offer an online product switch proposition for consumers, rising to 82% for intermediaries.
Most lenders involved in the survey now offer or plan to offer further advanced product switching or mobile app online services for intermediaries and the clients.
Steven Carruthers, principal mortgage consultant at Iress, said: “Our 2019 Mortgage Efficiency Survey finds that blending human expertise with the use of technology drives efficiency and is central to lenders’ efforts to speed up execution and improve service.
“We’re continuing to see mortgage hub connectivity, open banking and APIs shift the market away from stand-alone systems to a more connected mortgage ecosystem.
“Better integration – with intermediary software, sourcing services and other third-parties – are still a priority for lenders looking to invest strategically to improve efficiency, reduce risk and provide better customer outcomes.
“Those who ignore or fail to harness new and improved technologies in the mortgage market risk being left behind.”