Mortgagebot, a Mequon, Wis.-based developer of mortgage shopping websites, launched a new feature to make it easier for potential borrowers to search for mortgage rates on their smartphone.
Many lender websites are too difficult to navigate on a smartphone. The font may be too small and the layout could be incompatible with the smaller screen, among other inconveniences. When customers use a smartphone to access the mortgage rate Web page of one of Mortgagebot’s 950 lender clients, the site recognizes the mobile Internet browser and automatically loads the mobile-optimized version of the site. The mobile version of the site is in a narrow format to fit a phone screen and utilizes drop-down menus that users can be better navigated with their fingers on a smartphone.
When users enter eight nonpersonal pieces of information about the loan they’re interested in, the site loads a variety of loan products with the mortgage rates the users are eligible to receive. Each loan has a link that provides additional details to maintain compliance with loan disclosure regulations, like closing fees, fee disclosures and downpayment requirements.
“In today’s world, over 70% of consumers start their mortgage searches online,” said Mortgagebot president and CEO Scott Happ, adding that 77% of consumers go online for rate-and-fee quotes. “By 2013, an estimated 1 billion mobile devices will be connected to the Internet, so it’s vital that mortgage originators embrace mobile, online lending.”
The smartphone market grew by 64% annually worldwide in 2Q10 according to data released by technology analytics firm Canalys. Since the June 2007 launch of the iPhone, Apple’s products have taken a commanding share of the smartphone market.
But competitors are fighting back and that trend is now changing. HTC, Motorola, Samsung, Sony Ericsson and LG all manufacture phones powered by the open-source, Google-backed Android operating system, and Canalys said shipments of Android phones grew 886% year-over-year in 2Q10. All told, there were 14.7 million smartphones sold during the second quarter, with BlackBerry manufacturer Research In Motion holding a 32.1% market share in the U.S., followed by Apple (21.7%) and HTC (14.4%).
The landscape for smartphones has never been more competitive. To make a product accessible on all of these devices, Mortgagebot elected to design the mobile website, rather than develop multiple applications for the myriad platforms in the market. Happ explained that this allowed for a faster implementation of the mobile service.
Once the mobile website was built, Mortgagebot branded each one to its specific clients, similar to what it does with the version of the Mortgagebot’s PowerSite point-of-sale platform that users access with a computer. Like the full version of the site, the backbone of the mobile website is Mortgagebot’s real-time product and pricing engine. The lender-specific pricing adds uniqueness to the site beyond its branding and marketing.
“PowerSite Mobile helps lenders meet consumer expectations,” Happ said. “It’s easy to use, it’s accurate and it’s readily accessible from any mobile device. In addition, it helps increase a lender’s brand awareness, which drives more borrowers to the lender’s mortgage website.”
While many potential homebuyers will do extensive research online as they navigate their way through the origination process, Happ said an ideal use of the mobile website is when a user is at a house for sale and wants instant product pricing information related to a specific mortgage and property, as well as homebuyers juggling a hectic lifestyle with shopping for a home.
The offering is especially appealing to the first-time homebuyer demographic—a great target audience for mortgage lenders, Happ said. Younger generations turn to the Internet for virtually anything they want or need, including financial products. If lenders want to compete for their business, they have to provide the information in the format and manner those users are accustomed to using.
When users find a product and rate quote they like, the site has a function to e-mail the information to them. The e-mail has the quote details and a link to the lender’s desktop website. There, the user can fill out the information required to obtain conditional approval and receive government-mandated disclosures—a process that takes about 20 minutes.
“Now, whether mortgage shoppers are at the beach, in the backyard or at the kids’ soccer game, they can instantly get accurate rate-and-fee quotes,” Happ said.
