Will “Technology” replace the Loan Officer? Is the LO Obsolete?

There is a lot of talk about technology making jobs obsolete. The media loves to publish clickbait articles about self-driving cars that will destroy driving jobs and AI that can replace nearly every other position.

Yet, in almost all cases, technology is going to improve our jobs, and this is especially true in the mortgage industry. Here’s why:

It was soon after the web disruption in real estate, when Zillow, Redfin, and Trulia first came out, in early 2000’s, that everyone got worried because they thought that real estate agents would be out of a job very soon and become extinct.

But that didn’t happen.

Instead, many of the tedious tasks involved in finding a new home were transferred to the efficient computers which freed realtors to do what they do best — interact with people and sell more homes.

This is also happening with the mortgage industry with the rise of digital mortgage software. Not only will it free up your time, but embracing the technology now is the key to staying ahead of the pack.

 

Technology Can’t Replicate the Human Element of a Loan Officer

Although many software companies have come close to creating technology that’s more “human” with voice recognition apps that follow easy commands, they haven’t mastered the critical human element. And it is this element that is needed to understand the complex mortgage process and the steps for home buyers to secure funding.

Consumers will always need the reassuring assistance of human loan officers to explain complicated paperwork and loan programs, broker an advantageous deal on their behalf, and to serve as an advocate for loan approval.

Here’s another interesting point to consider technology: the more your consumer uses technology, the more they crave human connection.

Everyone understands the necessity of having a reliable expert on hand when undergoing a major life decision such as financing a home. Consumers will always need a person to consult with on every step of the home buying journey.

Let’s not forget that there’s a high amount of critical thinking, emotional intelligence, and instinct that mortgage professionals use and must possess to see a loan through to its final stages. These higher level human qualities just can’t be replicated by machines.

A Digital Mortgage POS System Enhances the Loan Officer Processes

A traditional mortgage can take up to 40 days from start to close. The long life cycle of the loan process is mostly due to mountains of confusing paperwork and several tedious steps. Let’s also not forget that human capital is costly and can eat up profit margins quickly.

We are among the best industries to implement technology for improved productivity and massive efficiency gains. Point-of-sale apps such as Loanzify are emerging with solutions that act as a guiding framework for both the lender and the consumer.

Also, a POS could make mortgage jobs more enjoyable by removing mundane tasks and providing more time for building relationships and negotiating mutually beneficial deals. By reducing your overhead costs and time spent on arduous tasks, you allow yourself to focus on what matters most –people.

POS applications empower you to invest in people and human connections. The amount of time saved by a POS will allow you to serve customers better while having a better work-life balance.

Industry Standards

Consumers want more from their buying experience. They want a seamless user experience plus friendly human interaction. Even Google and Apple have confessed that the human element is instrumental to their success.

As the expectations of borrowers grow, digital mortgage POS apps will become the industry standard. It will be necessary to have partnered with a strong POS for both practical efficiencies as well as keeping relevance. Anyone not using a POS will struggle while those that accept a POS will flourish.

Adopting the best POS system will become integral to building confidence in your brand, too!

How to Survive and Thrive with Digital Mortgage POS

Most mortgage companies need an extreme overhaul of their loan process and a technology upgrade. By adopting a digital mortgage strategy you can innovate and improve the user experience of your clients when they are looking for a mortgage. The future of mortgaging will delegate repetitive or mundane tasks to programs to improve efficiency and save on costs.

The time savings alone could be worth close to $3,000 per loan on average.

To get the most benefit out of the transition to a fully digital mortgage, loan officers must leverage the time-saving benefits and efficiency gains of a POS to close more loans.

POS systems will help mortgage professionals to improve the consumer experience, have a better work-to-life balance, and promote their brand. Most importantly, POS is a tool to make more money in a shorter amount of time.

Curious to know how a mortgage POS can help you? Check out our mobile-friendly Loanzify app and join the digital mortgage revolution today!