MBA Premier Member Editorial: Agentic AI–The New Language of Lending
Kieran Mital is Head of Brand Marketing Strategy at Tavant
The mortgage industry is currently experiencing a profound transformation. Traditionally known for its reluctance to embrace change, lenders are now adopting artificial intelligence at a much faster rate than ever before. This evolution is crucial for sustained success. However, as more lenders race to implement AI solutions merely to claim AI capabilities, real progress requires a strategic approach. Lenders must thoroughly assess their existing processes and workflows to pinpoint where AI can drive the most significant improvements. Then the next step is to determine how to leverage both generative and agentic AI solutions to enhance efficiency, streamline the lending lifecycle, and provide a superior borrower experience.
The Initial Impact of Generative AI in Lending
Most lenders who have adopted AI have started with generative AI solutions, using them to automate and simplify operations such as document processing, data extraction, and verification. These solutions help eliminate manual, paper-based procedures, allowing loan officers and other staff to focus on more complex cases and borrower needs. The benefits of this initial phase are clear: efficiency has improved, processing times have decreased, errors have been reduced, and operational costs are lower. These foundational wins build organizational confidence and establish the technical infrastructure needed for more advanced AI applications, paving the way for agentic AI systems capable of managing entire workflows autonomously.
Agentic AI: Transforming Mortgage Lending
Agentic AI is set to revolutionize the mortgage industry. Unlike traditional or generative AI, which operate based on explicit prompts or fixed rules, agentic AI employs intelligent agents that work autonomously, make proactive decisions, and execute tasks with little to no human intervention. These agents are capable of adapting to their environment and pursuing specific goals by coordinating multiple intelligent agents. Integrating context, continuity, compliance, and borrower sentiment into automated processes, agentic AI solutions offer a powerful new approach to lending.
Streamlining Workflows and Empowering Borrowers
Agentic AI not only streamlines workflows but also empowers borrowers through clarity and personalized interaction. These solutions automate complex, multi-step processes, reduce manual labor, and improve decision accuracy in origination, underwriting, and closing. Autonomous agents learn and adapt, moving beyond simple automation to enhance every aspect of the lending process.
Enhancing the Borrower Experience
Intelligent AI agents remember previous interactions, making data collection and document validation more efficient and reducing the process from weeks to days, or even hours when multiple agents are deployed. These agents accelerate closing times and improve data accuracy by continuously reviewing application documents and flagging missing or inconsistent information to prevent errors. They support real-time requests from underwriters, ensuring all required information is gathered and exceptions are proactively addressed. Multiple agents can seamlessly share information between systems like CRM and LOS, enhancing operational continuity.
Through conversational interactions, agents adapt their tone to suit the borrower’s sentiment or level of experience, minimizing frustration and improving the overall experience. Agentic AI also facilitates more inclusive lending by processing non-standard documentation, such as records from gig workers or foreign income, thereby expanding access for underserved borrowers. These systems orchestrate end-to-end workflows, guide borrowers interactively, instantly generate prequalification letters, and automate dual system underwriting for optimal loan selection.
Conclusion
For years, the focus in mortgage lending has been on automation to reduce friction and increase speed. While AI achieves these goals, it brings clarity and empowers borrowers as well. More than seeking answers, borrowers want to trust that the guidance they receive fits their unique circumstances, helping them make more informed decisions.
Agentic AI platforms sustain context from previous conversations and adjust their tone based on borrower sentiment. In training environments, agentic AI can simulate thousands of borrower scenarios, acting as both the customer and the coach. This scalability supports onboarding loan officers, reinforces best practices, and ensures consistency across teams, boosting productivity and confidence.
Ultimately, Agentic AI is not just about lending, it is about listening, guiding and learning. It gives customers the confidence to navigate complex decisions, making the process more manageable and accessible for everyone involved.
(Views expressed in this article do not necessarily reflect policies of the Mortgage Bankers Association, nor do they connote an MBA endorsement of a specific company, product or service. MBA NewsLink welcomes submissions from member firms. Inquiries can be sent to Editor Michael Tucker or Editorial Manager Anneliese Mahoney.)
