This year's survey confirms innovation is racing up the industry's agenda.
Lenders, intermediaries, regulators and emerging mortgage fintech companies are all looking to technology to improve the market, increase efficiency and guide consumers to more effective choices. Mortgage technology has really come of age.
This survey, tracks the developments from a cross section of the mortgage market representing a 51% market share, from specialist lenders, regional building societies, new entrants and high street names.
We hope you enjoy reading the report.
Key findings
The rise of mortgage tech:
- Open application programming interfaces (API) are expected to provide the most transformative efficiency gains over the next three to five years.
- Half of the lenders are implementing, likely to implement or actively reviewing open banking functionality within the mortgage sales process.
- Over half of lenders provide online product switch for both consumers and intermediaries and almost a quarter plan to offer the service.
- Three out of five lenders are investing in mortgage hub technology.
- Online service provision for intermediaries is increasing with three out of five lenders providing, or planning to provide, online further advance services.
Consumer demand driving change:
- Almost half of lenders are actively reviewing or planning to implement voice activated services.
- More than eight out of ten lenders have already implemented or are considering offering mobile services to mortgage applicants.
- Over half of lenders are actively reviewing, likely to implement, or implementing instant messaging for both consumers and intermediaries.
Market overview:
- The intermediary channel continues to dominate the mortgage market, with more than eight out of ten mortgages sold through intermediaries.
- Switching a client's mortgage product makes up to three quarters of existing mortgage business activity.
- Six out of ten intermediary applications get an initial accept decision compared to five out of ten direct applications.
- The percentage of offers made in five days or less has doubled from 2017.
