The process is a key part of its recently launched Mortgage Hub system, and provides accurate income, expenditure and property valuation at the beginning of the application process.
This will allow lenders to offer a DIP based on real rather than estimated information.
The Mortgage Hub’s DIP process allows brokers to send their client a link to Open Banking permissions at the very first meeting while completing the fact find. This will verify a client’s income and expenditure in seconds, and make lender assessment of affordability more accurate.
It will then link to a lender’s automated valuation model where it is available for a property. Target Group said that this won’t necessarily remove the need for a full valuation but would help speed up the process by offering real value for a property.
Each AVM will be matched by a lender’s risk threshold with a “certainty score” of how accurate the valuation is. The lender can flag a valuation as to whether it has been approved or to be reviewed, and this can be reviewed in seconds.
This will allow lenders to see the value of the property so they can see if it is in line with their policy and compare client’s income information from Open Banking.
The two elements mean that accurate decisions will be made in seconds, reduce the likelihood of decline, and means information only has to be input once.
Target: Transformative and time-saving
Katie Pender (pictured), managing director at Target Group, says: “We designed our Mortgage Hub and the DIP process around the people using it. We looked at what the challenges were and then built the Mortgage Hub to provide the solutions.
“What we have designed will dramatically shorten the time it takes to apply for a mortgage, achieve acceptance and successfully complete. Basing a DIP on accurate information that can be gathered in moments should be transformative, saving time for brokers, lenders and the end client.”
She added: “We believe that our Mortgage Hub is the only mortgage originations system that has been built to be user-centric rather than product-centric. Together Mortgage Hub and our new DIP process benefit lenders, conveyancers, brokers, and ultimately the end borrower.
“Mortgage Hub and the DIP process has been built to be intuitive to use, whether you’re a lender or a broker, but it doesn’t stop at DIP stage. Once an application has been accepted by a lender, then both the lender and broker get a single view of what is happening on every case without the need for extra emails, phone calls, notifications or chasing.”
