Agility: A Key Attribute for Mortgage Lenders in a Volatile Market


BLOG VIEW: For any mortgage lender operating in a volatile market, agility is a key attribute.

This is especially true in the current scenario: demand for refinances, as well as purchases, has been surging through the summer and into the fall, driven by record-low rates, according to the Mortgage Bankers Association’s Weekly Applications Survey.

Having a robust partner relationship plays a crucial role in enabling such agility.

Agility in Response

In the competitive mortgage domain, where time is an extremely important factor, being able to respond quickly is a significant virtue. Even a day’s delay or uncertainty could result in losing business to a competitor. Lenders must work with third parties that have domain expertise as well as a keen understanding of lender-specific guidelines. Lenders benefit immensely by partnering with companies that offer quick on-boarding procedures and immediate start of operations.

Along with cost-effective solutions, such partner companies should also be able to offer ready-to-use setups that help clients effectively manage their people, technology, and processes. Since these setups are fully established, lenders can kickstart operations immediately.

Agility in Tech

Agility in technology adoption and availability is also a key element. Partner companies should be able to provide strong digital technology solutions to offer lenders the much-needed flexibility to effectively respond to changing market dynamics.

Through a unique combination of technology and digital operations, the partner companies should be able to help in streamlining processing.

More importantly, they should have technology that is ready-to-use and does not need major configuration or customization.

Through automation, third parties should be able to assist lenders in simplifying, accelerating, and making their business resilient. 

Agility in Security/Infra

Another area where agility is imperative is in security and infrastructure. Due to sensitive data in the mortgage business, ensuring security is crucial.

If lenders wish to be up and running fast, they should have processes in place to manage data security. This also calls for the requisite infrastructure to be in place.

Lenders need to partner with third parties that offer superlative overall facilities while ensuring data security.

Based on perceived security threats, the partner may need to respond to, or adapt to, changes in security regulations from time to time. The changes may need to be implemented quickly, and the partner needs to show agility in doing this.

Agility in Mortgage Processes – Mortgage Sensitized ODCs

Mortgage-sensitized offshore delivery centers (ODCs) have industry-leading processes already in place, resulting in minimal ramp-up time and results from day one.

ODC setups are a preferred choice among lenders in today’s market, as they essentially act as extended, integrated, and dedicated offshore facility that exclusively manage the lender’s operations.

With ODCs, lenders can manage the setup team as if it is their own organic extension, regulate expenses, and acquire more exposure.

Mortgage-sensitized ODCs can deliver dynamic solutions customized to best meet the business objectives of lenders.

Alok Bansal is managing director of Visionet Systems Inc.

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