In today’s video, I’m excited to have a special guest: my daughter! Earlier today, we were talking about an article I found that shared how mortgage declines are way up compared to this time last year. Maddy works in technology and mentioned that it could have something to do with AI.
Understanding How AI Plays a Role
For people who don’t work on the technology side of AI, it can sound like a big and scary thing that is taking people’s jobs. But, it’s really meant to take out the redundancy in jobs.
The biggest thing we always say: if you push trash into AI, you get trash out.
AI and Mortgages
When you look at it from a mortgage perspective: if you don’t be careful about what you are putting into the file, you are going to get trash out. Human touch is so important in every aspect of AI, including the mortgage industry.
In terms of the mortgage industry, we know that many companies are heading in this direction. They want AI to take care of underwriting. The trick is to figure out the implementation. For example, if our clients just start uploading everything they have into a digital system, what in the world are we going to get on the other side?!
The system might decline mortgages that could have potentially been pushed through a different way if there was a human touch.
This being said: I don’t know if AI is causing an increase in declines. But I could see that coming in the future!
What Does it Mean for the Future?
Two takeaway points:
- We are seeing an increase in mortgage declines, which could be blamed on many different factors, and I also think that AI is going to play into that.
- AI is definitely the way of the future, which is why it’s essential that we are keeping an eye on it and staying ahead of the industry.
If you have questions about your mortgage approval or need assistance with financing, then reach out. I’m always here to help!