Majority of mortgage intermediary business to be conducted electronically in two years
The findings, from a survey into mortgage intermediaries’ predictions for business growth and development, revealed that 76% of UK mortgage intermediaries believe that more than half of their business will be conducted on line by 2007.
When asked what technology needs to deliver over the next 12 months to achieve this and better serve their businesses, the majority (88%) of intermediaries said better electronic application services were key. More effective application tracking services (64%), electronic key facts illustrations (57%) and greater transfer of data between applications (45%) were also cited as essential enhancements.
While they anticipate a breakthrough in the use of technology to communicate with clients and lenders, intermediaries also highlighted a number of areas in which mortgage providers could help them to do business better.
Improved service levels were seen as key by an unprecedented 91% of participants. Enhanced e-commerce facilities were also seen as important, with a further 80% of intermediaries looking for this from providers. In addition, supporting mortgage sourcing systems was viewed as important by 79% of intermediaries questioned.
“These findings not only highlight how importantly intermediaries regard technology in terms of its ability to drive business, but also illustrate how they are becoming increasingly sophisticated in the demands they make of it,” states David Edwards, Managing Director, Mortgages, Vertex Financial Services.
“Traditional views of intermediaries as being slightly techno-phobic are clearly no longer true and both mortgage lenders and technology providers need to take their views on board to ensure that the right solutions are developed to allow intermediaries to provide the best possible service to their clients.”
Trigold CEO Bill Safran commented:
“These results show that intermediaries recognise the tangible benefits that electronic trading can bring to their business. This is a testament to the advances that have been made in the mortgage market over the past few years. The next challenge is for technology providers and lenders to work together to continue providing value-added services to the intermediary.”