Altisource: AI Will Differentiate Competition

Altisource, Luxembourg, released its annual State of the Originations Industry report, which said a significant number of respondents said artificial intelligence will enable their organization to stand out among its competitors.

The report highlights results from Altisource’s annual Origination Survey of more than 200 professionals in the mortgage origination business conducted in 2019. Of those surveyed, 22 percent cited artificial intelligence as the most important factor to differentiate their organization in a competitive mortgage market. They said AI and machine learning are driving new technology adoption in the industry in two important areas: point-of-sale solutions and back-office workflow.

The survey also cited a high level of concern that loan production expenses will continue to increase and volume will drop. Of those surveyed, 90 percent cited concern, up significantly from 78 percent in 2018. They cited the leading steps taken to adjust to the increased cost of production were adding automation to the process (24 percent) and consolidating vendors (24 percent).

More than two-thirds of mortgage origination professionals plan to expand their offering to include HELOC (67 percent), followed by construction lending (62 percent) and non-QM (61 percent).

“While the cost to originate a mortgage has continued to rise in recent years, advances in technology are providing opportunities to improve the bottom line,” said Ben Hall, Vice President of Product with Altisource. “It is more important than ever for organizations to invest in technology and work with vertically integrated third-party service providers to leverage leading technology solutions.”

The report can be accessed at https://pages.altisource.com/2020-State-of-Originations-Report_LPform.html.