View more on these topics

Comment: Simplifying the mortgage process requires application

The successful integration of technology, while vital, is no easy task in an area as multi-faceted as the mortgage world

The current mortgage application process is archaic and prevents people from getting on the property ladder. These are the suggestions in a recent report by data intelligence specialist GBG. But are they fair?

The purchasing of property has long been a complex and sometimes outdated process, which is highlighted in the report. When quizzed about their mortgage application experience, over a third (36 per cent) of respondents said they had found it stressful, 33 per cent suggested it had been a complicated process and 27 per cent had found it too long and drawn out.

The survey also revealed that the average UK homeowner took just over three hours to source all the paper documentation required for their application.

In lenders’ defence, they are constantly working to update systems and improve efficiency for applicants and intermediary partners. Also, in such a large transaction, any simplification or shortening of the process must be done in a secure and responsible manner.

The successful integration of technology is also no easy task, especially in an area as multi-faceted as the mortgage world.

Speaking to lenders, it is clear innovation and technology are having a massive influence on their behaviour. Through intelligent use of data, lenders can now assess property risk in far more detail than before.

However, they also need specialist support to ensure the mortgage journey is simple, straightforward and transparent for all links in the chain.

The more we can utilise and integrate appropriate digital solutions throughout the industry, the more borrowers, intermediaries and lending partners can all benefit.

Paul Wareham is managing director, surveying and conveyancing services, at Countrywide

Recommended

Business-Handshake-Finance-Deal-700.jpg

Countrywide announces clutch of leadership changes

Countrywide has announced a batch of changes to its senior management team. The firm has promoted former professional services director Paul Chapman to managing director of its Business to Business division. He will be responsible for the group’s surveying, conveyancing, asset management and land and new homes businesses. Paul Creffield will now focus on the […]

Sellar_Graham_700.jpg
1

Santander starts instructing valuation on day application is received

Santander has moved to knock days off the application process by instructing the valuation on the day it receives a case where the product comes with a free valuation. Previously, a valuer would be instructed once a case has gone through the underwriting process. Santander head of business development for mortgages Graham Sellar says: “We […]

Money

Retention proc fee wave fuelled by new funding rules: AMI

The widespread move by lenders to pay retention procuration fees is fuelled by a need to boost lending before 2018, according to the Association of Mortgage Intermediaries. AMI says the move is linked to the replacement of the Funding for Lending Scheme with the Term Funding Scheme next year. The FLS was brought in by […]

Phone - thumbnail

Pension Wise — now taking calls…

Those with decent-length memories will recall that in the 2014 Budget statement George Osborne announced the new (and entirely unexpected) pension freedoms. The new rules come fully into force in less than two weeks.

Newsletter

News and expert analysis straight to your inbox

Sign up