finova, the UK's largest cloud-based mortgage and savings software provider, has today published a new report Homeownership in the digital age. The research uncovered that 19% of homeowners feel that the technological features offered by lenders are falling short of their expectations.
finova surveyed over 500 borrowers and 500 brokers to understand how time consuming the path to homeownership is in the UK. The findings and the report pinpoint where there are opportunities for lenders to reassess and enhance their digital solutions to keep up with consumers’ evolving demands.
Frustrated with current technology
Despite the recent advent of innovative digital tools, nearly one in five homeowners (19%) don’t find any technological features offered by lenders to be beneficial.
Preference for traditional methods of communication
finova’s study found that a considerable 42% of respondents still believe that speaking on the phone is the most effective method to address queries about their mortgage. The value of the ‘human touch’ is apparent when considering attitudes towards specific digital tools, too.
Although artificial intelligence (AI) has become increasingly commonplace in the last two years, just 13% of borrowers enjoy using chatbots, and only 12% find that virtual consultants with mortgage advisers are productive.
Among the tech features that resonated the most, nearly a third (30%) find the online application process the most useful, while almost a quarter (23%) value digital document signing. Notably, female homeowners and younger demographics are especially drawn to these features, likely because of their convenience and efficiency.
Chris Little, Chief Revenue Officer at finova, commented:
“Our research highlights some significant gaps in the market, confirming that lenders’ tech still has some way to go before it completely aligns with borrowers’ expectations. While the sector has upped the ante in recent years, and is increasingly adopting more digital solutions, there is still room for improvement.
“A considerable portion of borrowers still value personal interactions, and there’s no reason why they have to forgo the human element to reap the efficiency benefits that come with digital solutions. The popularity of tools like online applications and digital document signing demonstrates that there is a real appetite for technology when done right, but we need to take stock of how preferences vary across the board if we want to implement tech that is here to stay.”
