Two-thirds of mortgage lenders said they did not have confidence in their organisation’s ability to implement new technology, research from Target Group found.
At the Future of Mortgage Servicing conference, Target Group and Phoebus Software asked 100 C-suite mortgage professionals how confident they were about delivering new tech.
Just 31% said they had the right skills and strategies in place.
Another 23% said they were trying to build capacity, and 44% said they lacked both the resources and expertise.
3% said they were not sure.
Pete O’Connor, CEO 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.”
O’Connor added: “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.”
He said: “The challenge – and the opportunity – is to ensure technology enhances, rather than replaces, the human touch.”
Adam Oldfield, CEO at Phoebus Software, said: “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.”
Oldfield added: “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.”
