Top Challenges In Mortgage Processing You Need To Know
There are multiple challenges for today's firms in the Mortgage Industry. There are tests like increasing the Mortgage Loan Process costs, with tighter profit margins, escalating personnel costs, and retention problems. There are more players on the field, making this sector very competitive. Here are a few of those challenges.
Shorten the Turn Around Time! - The customer always expects the fastest service. Blame Amazon for unreal expectations, but that's the fact, so you better be able to deliver on time. And it would help if you were super accurate because mistakes will cost more time.
Regulatory Compliance - To say the regulatory battlefield is "fluid" is a huge understatement, and that means your staff needs to be up-to-date on all the changes. Which takes a lot of time, that's paid time, and additional expenses of seminars, software, and printed materials.
Flexible Staffing - Like many other business sectors, the mortgage process business has busy and slack seasons. Having to pay idle staff during slow times doesn't make a lot of sense, so it's worth exploring a different business model.
Pre-underwriting Precision - Somebody who will complete all of the needed preparations so the underwriting process can go smoothly and efficiently. Most lenders and borrowers expect the buyer to be pre-qualified these days, and the key to that is effective pre-qualifying methods.
Business Growth - You want to grow your business, either in your area, in your state or region, even overseas. But this is a big leap, filled with traps, so you better have solid plans and enough capital to make a move to expand.
These challenges force the question: How do you scale up your enterprise while cutting costs and trying to remain viable in a cutthroat Mortgage Market?
Ever consider Mortgage Outsourcing Services - Mortgage BPO as a solution?
The Mortgage Process is a multi-faceted, hyper-detailed set of responsibilities. Many different "micro-tasks" that require precise knowledge to complete. If one person on your staff is handling all of the different functions involved in Loan Origination - Background Investigation, Property Assessment, Accounting, Financial Checking, Document Examination, Mortgage Underwriting… not only are they crazy busy, but the workload will soon crush them. And when it does, there will be plenty of mistakes to clean up.
Tame that Beast!
Mortgage Process Challenges - How to Win!
In 2019 the average US borrower made a 5% down payment for their home purchase.
Ten years ago, someone with a down payment that small probably couldn't get a mortgage at all!
So, lenders today are taking on more risk in a highly charged, competitive market! What does this do to their business model?
After the recovery from the great recession, mortgage lenders faced a new reality. These lenders needed to find a way to reduce costs and become more efficient. With reduced profits, how can mortgage services remain in operation? What are the best tools to help firms in this battered financial sector succeed?
Here's Five Big Reasons Mortgage Services Outsourcing has risen to meet the challenge.
A BPO team has the latest tech, and IT practices available. That means constant hardware and software upgrades, migration to the latest servers, world-wide access, cloud services, continuing maintenance, and full support for your in-house staff. And while the service is outsourced, all the information is available to you 24/7. In this Hacker age, a BPO can offer cutting edge security practices to keep your information safe and private. It seems every day the headlines are filled with news of a new data breach. Look for a BPO that has never had a data breach, never lost any information, never suffered a devastating server crash. And if they have suffered one of these disasters, how did they recover?
No matter what size your business, a BPO can help you become more profitable. Often new customers will start a conversation with: "my operation isn't large enough to outsource these services." Actually, you're probably just the right size to benefit from BPOs scalable services. Small bank or multi-national lender, you'll be a good fit.
Customer satisfaction scores are off the chart! BPOs have been engaged in customer service- related functions for years, and it all started with building customer trust and confidence. Quality BPOs engage in constant training in customer relation practices with their representatives, so your hard-won customers will stay happy with both your products and your services.
Mortgage service outsourcing can deliver access to the latest in big data analytics, which in turn gives your firm the ability to use up to the minute information about pricing models, the optimum number of loans to have outstanding, loss mitigation, and best practices. Big Data can allow your business decisions to be the best informed possible.
Cut that overhead. A BPO will provide a professional certified contract loan processors ready to go at a fraction of your current cost. Let your core staff do what they do best. Let your key players do their thing. Let a BPO do everything else.
The right BPO will be a professional operation delivering on time and budget. And they should be completely transparent, so you know exactly what kind of job they're doing.
Mortgage Process Challenges - Tame The Tiger! Some Leading Benefits of Outsourcing!
You're probably very familiar with the Mortgage Industry's needs, but let's look at it through the lens of your prospective outsourcing partner.
Access to the latest software - As mentioned above, a top-notch Mortgage Process Outsourcing Services team has the latest tech and IT practices. This means constant hardware and software upgrades, migration to the latest servers, world-wide access, cloud services, continuing maintenance, and full support for your in-house staff.
Security - Since it's vital that all your data will be backed up and secure, this is a crucial factor in picking your Outsource Partner.
Minimal Overhead - Cut that overhead. Your BPO will provide a professional, highly trained staff ready to go, at a fraction of your current cost. This can mean huge savings in overhead.
Customer Satisfaction - BPOs have been engaged in customer service- related functions for years, and it all started with building customer trust and confidence. Our team members engage in constant training in customer relation practices, so your hard-won customers will stay happy with both your products and your services.
Focus on Core Services - Let your core staff do the things they do best. Let your key players do their thing. Let Rely Services do everything else.
Beneficial for both Small and Big Organizations - Often new customers will start a conversation with: "my operation isn't large enough to outsource these services." Actually, you're probably just the right size to benefit from BPOs scalable services. Small bank or multi-national lender, you'll be a good fit.
Eliminate Hiring Costs - Mortgage Process Outsource Firms are professional operations delivering on time and budget. They are completely transparent, so you know exactly what kind of job they're doing. Your outsourced team works for you and has your success as a top priority.
Determine Your Needs
It's hard to know exactly how much help you need. In some industries, you can hire one employee to perform multiple tasks; however, its specialized nature makes it hard to double-dip with the Mortgage Industry employees. For example, a licensed mortgage processor has a different skill set than an underwriter and vice versa.
It might not be an issue when you know you need a full-time employee in a specific area. But what happens when you aren't sure? You'll have to choose between over hiring or understaffing. Neither option is optimal given the time, cost, and effort involved in the hiring process. all that changes with the flexibility of a BPO.
You Deserve the Best! Mortgage Process Challenges - Tame The Tiger! You need to Outsource. But With Who?
Using Rely Services as your partner will save you more than time and money. Since they are constantly refining their business methods, their constant pursuit of perfection will benefit your own operational practices. Contact Rely Services today for a detailed evaluation of the many ways we can make you more successful.
