Seth Appleton: How MISMO Standards Are Helping The Industry Achieve Higher Tech Adoption
Mortgage Bankers Association
At the recently concluded MISMO Spring Summit-which set an attendance record for the organization-two related themes emerged during many of the event's "Going Digital" sessions. Experts throughout the four-day event agreed that technology adoption and data trust are two business challenges that must be solved so the industry can truly "go digital" and realize the benefits that come along with it.
The good news is that MISMO standards are helping to accelerate a fully digital mortgage process, end to end, and are playing a significant role in helping the industry scale digital solutions.
The case of hybrid eClosings is instructive on the importance of user technology adoption.
Garth Graham of STRATMOR Group highlighted that hybrid eClosing installations grew from 18 to 43 percent over the past year, but a gap exists with user adoption at net 20 percent (calculated by multiplying lender adoption by user adoption to analyze how often a feature is used) The good news is that the numbers are moving in the right direction, with a four-fold increase in hybrid eClosings in one year and, according to a recent report from the American Land Title Association, a 228 percent increase in the number of title and settlement companies offering digital closings since 2019.Industry experts who are in the eClosing trenches had important advice and context to impart, as well.
Ty Cieloha of Qualia articulated the problem of portal fatigue among settlement agents working with multiple lenders, who may have to log in to as many as 15 different portal technologies in the course of their work. This is clearly an area where the standardization of data exchanges can provide concrete benefits to the industry. Jay Arneja and Shane Westra of SimpleNexus noted that scalability and testing are key factors to successfully implement a hybrid eClosing strategy and highlighted how industry standards, and the digital adoption that it encourages, can help increase liquidity in the market... Read More Here!