The title industry is at a turning point and 2023 will be the year where the tide will turn towards innovation. With uncertain mortgage market conditions, it is essential for title companies to invest in a robust title management system so that they can increase their productivity. All title companies must be prepared for the future and invest in technology that can streamline their title processes.
Did you know that the mortgage origination volume is expected to decline to $2.05 trillion in 2023 from the $2.26 trillion expected in 2022. The overall chunk is still sizeable and if title companies are to secure their piece of the pie they must adapt and overcome workflow challenges. Let’s explore some of the challenges currently seen by title companies and how a robust title management system can help.
Friction in Touchpoints Across Lenders and Title Agents
What’s fascinating is that technology and innovation can present a solution to our woes in ways we could’ve never imagined. The mortgage origination process has always been considered as highly intricate and complex. Partly because of its nature and partly because of multiple vendors involved in the process.
The vast majority of touchpoints involved in the process fall under the title and lender’s territory. This is a major problem and can be rectified by building comprehensive workflows in your title management system. The modern-day software for title companies must be robust, scalable, and innovative so that it can provide lenders, loan officers, title agents and borrowers a more streamlined experience.
Managing Multiple Vendor Partners
The title business comes with a lot of stress in regards to managing multiple vendor partners and maintaining relationship with their vendor network. It is absolutely essential for title companies to invest in a title management system. A powerful title company software, like AtClose, offers title businesses to integrate fast and seamlessly with an open integration framework. AtClose also allows companies to scale easily and connect with multiple partners with ease.
The Gen Z Influence
The current marketplace is being dominated by Gen Z borrowers and their number is only going to increase in 2023. This set of borrowers for obvious reasons expect digitized experiences due to the comfort it provides as they’re tech savvy. The title industry must also adapt to their requirements so that Gen Z can gain instant gratification.
The Gen Z borrowers essentially demand hyper-personalization along with a swift closing time. AtClose’s expertise enable title companies to seamlessly execute closings and ensure optimal performance across all touchpoints.
Dealing with Expansive Workflows with a Title Management System
Title companies are dealing with expansive workflows that include elements such as title production, funding and disbursement, scheduling, closing, and post-closing. In essence, your title solution must cover all facets of the loan origination process and the title workflow. For this, companies must invest in a digital ecosystem that holistically covers all aspects of your title workflow.
A digital ecosystem built on automation can allow your title business to scale with ease and allow you to deliver quality control, resulting in improved turn-time, accuracy and customer service. All these elements are what the modern borrower is expecting.
Are Chokepoints in the Title Process Just a Myth?
There are plenty of title businesses that are still relying on outdated technology. They believe that the marketplace has the ability to adapt itself and chokepoints in the title process will always be there. This is key in understanding where the future is headed. In 2023, the title chokepoints due to turbulent market conditions are only going to increase which will further result in delayed closing times.
Some of these challenges include long cycle closing times, regulatory compliances, lack of transparency in Closing Disclosure forms, and facilitation in real estate transactions. Using a title management system after thorough evaluation is also important. It allows for organizations to gauge the true nature of workflow inefficiencies.
In a Nutshell
One thing is for certain, the year 2023 will be monumental for the title industry. Companies must act faster on the pressing industry and consumer requirements and it all starts with adaptation towards a powerful title management system.
Get in touch with our experts to learn more.