Mortgage Software Helps Regional Bank Drive More than $100 million Online Volume

The LendersLogic mortgage application software has helped clients originate billions of dollars in volume via the web. A close look at one regional bank with seven branches and about $2 billion in assets reveals that  LendersLogic with instant online approval helped drive more than $100 million in closed mortgage loans during a 12 month period.  And according to bank officials, most of this was new Intenet channel volume and did not affect volume from traditional sources such as the  telephone or walk in.  LendersLogic mortgage software provides a quick return on investment and goes a long way toward solving the challenges and pain of managing online mortgage leads.

Consumers Welcome Instant Online Approval 

Research shows more than 85 percent of home buyers start looking for a mortgage online.  Consumers welcome the opportunity to apply for a mortgage online and get approved instantly, preferring to wait to talk to a loan officer until after applying online.  Mortgage borrowers  like the convenience of shopping online and the and the fast approval.  It matches the culture of the web.

LendersLoigic Solves the Problem of Abandoned Applications

The LendersLogic  mortgage application is five screens and takes about 10 minutes to complete.  More than five of 10 people who initiate an application will complete and submit an application for a decision.  That is a 500 percent improvement over conventional online applications.  LendersLogic, with the offer of instant online approval, solves the problem of abandoned Internet applications.   By returning not only a credit evaluation and an underwriting assessment right at the point of sale, LendersLogic automates the filtering process and allows the bank to provide a flow of pre-qualified Internet Channel leads.  Loan officers now spend time with quality leads instead of spending hours with someone who has no chance of getting a mortgage.  And perhaps best of all, applicants that receive an approval stop shopping other  mortgage web sites.

 

Case Study — One Bank’s Experience — One Month
During the month of January, more than 139 people initiated an application via the bank’s LendersLogic mortgage application.  Among those applications that were started, 59 of the applications were submitted for a decision.  Of those applications submitted, 32 applications were submitted and received an approval.  Applicants that received an approval had the option of printing out an automatically generated, personalized pre-approval letter and an accurate Good Faith Estimate.   When an application is approved, e-mail alerts automatically go out to a sales manager or loan officer.
Mortgage Applications Volume One Month
More than $100 million in closed mortgage loans
During a 12 month period more than 1,368 mortgage applications were started by borrowers.  Of those, the bank saw that 497 of those applications were submitted for a decision.  More than 435 applications received an instant online approval.  The volume of the approved applications totaled $124 million.  According to the bank, more than $104 million closed.  The estimated yield to the bank was more than $1.15 million.
Mortgage dollar volume one yearCase Study — One Year

• 1,368 initiated mortgage applications

• 497 submitted mortgage applications

• 435 online approved mortgage applications

• $124 million in eligible loans

• $ 104 million in closed loans

• $1.15 million (Est. $$$ to bank)

• Viewed as incremental revenue
Print Friendly