A survey of both the lending and intermediary markets found that 40% of mortgage professionals think the industry is lagging behind other sectors in its use of technology.
Only 18% of mortgage professionals who responded to the survey, carried out in March this year, said they thought the mortgage industry was slightly ahead of other sectors.
But MD of software firm EDM Mortgage Support Services Joe Pepper, who commissioned the survey, said that the technology was out there, it was up to lenders to realise the opportunities and take them on board.
“There have been significant developments in cutting edge, cost effective technologies focused on key issues such as speeding up mortgage approvals, simplifying the customer verification process, and enhancing the relationships between brokers and lenders as well as end customers,” said Pepper.
“But it will be up to lenders to adopt such tools and solutions in an effect to drive through an enhanced competitive advantage and boost relationships with brokers,” he added.
Earlier this year, EDM launched software which allowed intermediaries to scan and upload customer documents, such as ID, proof of address and payslips using tablets or smartphones.
But lenders have been slow to adopt technology with many still insisting on seeing paper copies of originally certified identification.
And in many cases, conveyancers and lenders are still communicating with each using fax machines.
Pepper said this need to invest in software was a real threat to lenders’ business volumes.
“Lenders cannot rely just on brand loyalty to grow market share and there is, increasingly, the recognition that they need to invest in new technology to improve the customer experience,” he said.
Brokers have been warned that an attack on their market share will come in 2016 as lenders embrace technology and use boost their direct to consumer sales.