More than two-thirds of mortgage lenders lack confidence in their organisation’s ability to implement emerging tech, according to new research from Target Group.
At the Future of Mortgage Servicing conference, hosted by Target Group and Phoebus Software last month, leaders from the mortgage industry were asked “How confident are you in your organisation’s ability to implement emerging tech successfully?”
The poll results, based on the responses of 100 C-suite mortgage professionals at the event, found that only 31% of lenders were confident they had the right skills and strategies in place to deliver.
Almost a quarter of the lenders polled (23%) said they were trying to build capacity, while another 44% confessed they lacked both the resources and expertise to implement emerging tech. A final 3% of those polled admitted they weren’t sure.
Pete O’Connor, chief executive of Target Group, said: “Over the past few years, we’ve witnessed significant shifts in the mortgage landscape including the rise of digital-first borrowers. Today’s mortgage customer expects more than just a transactional relationship: they’re digitally savvy – they want transparency, speed and personalised experiences.
“This has driven a wave of digital innovation across the industry. As a servicing provider, Target Group has seen how these changes are reshaping the way we engage with customers and deliver value. Servicing platforms are having to become smarter, more intuitive, and increasingly integrated with data analytics to anticipate borrower needs and behaviours.
“In the future, we’ll see a continued convergence of technology and customer-centricity. AI, open banking, and digital-first platforms will drive efficiency and personalisation. The challenge – and the opportunity – is to ensure technology enhances, rather than replaces, the human touch.”
Adam Oldfield, CEO at Phoebus Software, commented: “As a software provider, we recognise that technology is an important enabler of growth for businesses. However, rapid advances in AI and the proliferation of systems available has left many in the mortgage industry lacking confidence in their ability to implement the right technology successfully. Our message to those companies is not to implement tech for tech’s sake. It’s tempting to invest in the latest shiny new platform, but technology should always solve an existing problem or make a process more efficient. Once you’ve got a solid use case that supports your existing strategies, and identified the right partner, then the implementation should be a lot easier.”
