Mortgage technology

Limited regulation and elevated volatility limit current activity, but new offerings are still finding their way to market.

Housing market players navigated big changes, and controversy, as the spring market moved forward.

The company, funded by Calterra Capital and led by the former CEO of lender Avlis Partners, is launching the technology in a space that has limited vendor options.

Starting June 7, the enterprise's platform will be able to analyze pay stub information.

At least $83 million worth of loans were insured by the FHA without lenders following the necessary protocols, the department's inspector general claims.

The regulator, which is seeking to halt the combination, said arguments involving constitutionality of its proceedings are "impertinent" and "immaterial."

Despite the "wow" factor, programs like ChatGPT are not, by themselves, the right tool for anything in the home loan space, argues the Director of Research at FormFree and Associate Director of the Institute for Artificial Intelligence at The University of Georgia.

The hackers, on their dark web blog, recently threatened to release supposed company and borrower information if the lender did not pay.

The tools are there to create a faster loan process, but fear of noncompliance and reliance on old habits still prevail, industry technology leaders said at the Fintech Nexus USA conference this week.

New products that have come to market since the start of 2023 include one that aims to ensure TRID compliance and another that handles image processing for appraisals.

Lenders used the firm's software in nearly a quarter of originations in the second half of last year, up from 14% over the same period in 2021.

The incident affecting the information of 1,361 customers is a rare disclosure of a data breach from a top mortgage lender and servicer.

Both tools are currently in use by eligible customers with waitlists open to others who are interested.

Earnings dipped for both companies coming in at $236 million and $328.2 million, respectively.

The servicer didn't disclose how many customers were affected by the incident.

The parties responded to the Federal Trade Commission's court filing that sought an injunction to halt their merger pending an internal adjudication.

The company also has plans to bring on board $37 billion in subservicing contracts in line with its acquisition of Rushmore Loan Management Services.

An interagency statement warned that automated systems have the potential to perpetuate discrimination and that such systems should be developed and used "in a manner consistent with federal laws."

A Consumer Financial Protection Bureau case against the lender involved is still pending and could have broader implications for compliance issues.

Investment in software that reduces costs and improves efficiency has slowed but innovation continues.