PUBLISHED DATE: 2025-08-14 09:29:16

Digitizing the Mortgage Business

30% of applicants found the mortgage process stressful, complicated, and too long. Currently, 50% of all loan applications include online and mobile components. The right mix of technology and personal interactions significantly improves customer satisfaction. Notably, 44% of homeowners who switched products with their existing provider chose execution-only options.

Challenges in the Current Mortgage Landscape

A Modern Mortgage Journey

  1. The customer meets their deposit savings goal and begins their home search. They compare deals they are likely to be eligible for and pre-qualify with a lender.
  2. Information from banking statements and tax returns is gathered digitally and aggregated directly from verified third parties.
  3. Documents are managed and checked digitally; algorithms and software help verify and flag missing data.
  4. Property value estimates are automated, often using advanced algorithms, facilitating conditional underwriting decisions.
  5. Customers can fully manage their mortgage digitally, with a human touch infused throughout, significantly reducing the need for support.

Key Features of a Digitized Mortgage Experience

Outcomes

Omni-Channel and Integration Landscape

Channels: Call Center, Branch, Web, Mobile, Chatbot, IVR, Brokers, Aggregators, Credit Bureaus

Core Technology Components

  1. Data Core: Data, Domain Systems of Engagement (SOE), Systems of Intelligence (SOI), Events, Business Events
  2. API Gateway and Management
  3. Identity and Access Management, Case Management and Workflow, Product Pricing Engine, Credit Decisioning & Underwriting, Credit Risk Analysis

Supporting Systems

Coreless Bank: The Target State

The target state is a coreless bank centered around data, with APIs and cloud as its backbone. Every function is a replaceable module, including core banking systems.

External Partner Integrations

Integrate with third parties to improve the distribution partner experience and unlock member engagement through hyper-personalized interactions.

Case Study: Streamlined End-to-End Online Remortgage Journey

Within 10 months, we helped a market-leading UK mortgage lender implement data-driven solutions to automate their mortgage process. The most creditworthy customers can now fast-track their remortgage application and get an offer agreed quickly. Customers can buy a mortgage without advice and manage the full process online, with many documents captured and checked digitally, significantly reducing manual processes. Through accelerated underwriting, many eligible customers have been able to get offers within 24 hours.

The Proposal: A Digital-First Approach

  1. Conceptual Touchpoint Blueprint: Articulate the target state for how customers and colleagues experience mortgages at various touchpoints.
  2. Target Digital-First Strategic Roadmap: Create a strategic roadmap with an incremental approach, capturing the shared understanding of the vision and sequenced building blocks of the holistic value proposition.
  3. Define Digital Mortgage Propositions: Define digital mortgage propositions for customers, staff, brokers, landlords, and other partners.
  4. Conceptual Target Architecture: Provide a target architecture aligned with the strategic direction and facilitate unbiased vendor assessments to deliver a successful proof of concept (PoC).

Measuring Return on Investment and Impact (Illustrative)

A total estimated strategic investment in the range of £45 million to £91 million could see the following revenue increases and savings:

Three-Year Transformation Plan

The First Engagement

We recommend a 12-week initial engagement to develop a mortgage digital vision that aligns with a progressive technology modernization strategy.

Talk to us:

natasa.kyprianidou@publicissapient.com