Artificial Intelligence (AI) is expected to replace a third of U.S. jobs in the next twenty years, while also creating new opportunities for growth and innovation. Industries such as mortgage, real estate, and financial services are already seeing a need to adapt quickly to accommodate changes in AI. In this webinar, participants will learn the truth about AI and how it will impact the mortgage industry, along with several insights into new technology trends and applications that are shaping the industry today. Specifically, participants will learn: New applications for technology such as “bitcoin” and how the cryptocurrency may be used in the future of real estate transactions How mortgage companies are using AI and automated technologies to improve the lending experience Strategies for adapting to fast-changing technology

1. Hosted by National MI
AI, Bitcoin, and the Future of Mortgage
By: Kristin Messerli, Cultural Outreach
kristin@culturaloutreach.net

2. What is Cultural Outreach?
Multicultural & Millennial
Marketing

3. Coming Soon...
Interview with
Tony Thompson
(NAMMBA)
Instagram Stories
Infographic

4. TABLE
OF
CONTENTS
What Is AI?
How AI is Shaping
the Future
Strategies to Adapt

5. Artificial Intelligence
What it is and how it’s affected modern industries
Section 01

6. What is Artificial Intelligence?

7. “every aspect of learning or any other
feature of intelligence can in principle be
so precisely described that a machine
can be made to simulate it”
- John McCarthy, Professor, Dartmouth
College, 1956

8. Examples of Robots:
Virtual assistants:
● Amazon’s Alexa, Apple’s Siri
Self-serve machines:
● Ticketing kiosks (airports, restaurants)
● ATMs
Data software:
● Facebook newsfeed algorithm

9. How It’s Changed Industries
in the Past :
Financial:
● Automated trading programs replacing
traders (i.e. Goldman Sachs)
Shopping:
● E-commerce has the advantage of data
over in-store (time spent browsing on
item; clear purchase history)
Medicine:
● Helps doctors identify disease

10. Will AI Replace My Job?

11. More than a third of U.S. jobs could
be at "high risk" of automation by the
early 2030s
Source: PWC, 2017

12. However...AI Can Provide:
● Access to more productive and higher
paid jobs for human workers if robots
or machines take over low-skill jobs
● Opportunities for entirely new jobs
● Freedom for more human creativity
● Shift in focus (i.e. teachers not needing
to grade; spend more attention on
students)

13. How AI is Shaping the Future
The changing face of transactions and communication methods
Section 02

14. Human Labor Could Become
Automated:
● Transportation
○ Truck driving
○ Uber / Lyft drivers
● Insurance
○ Facial recognition and scanning
could replace underwriters
● Hospitality / Food service
○ Higher use of checking in and
ordering via app and automated
delivery

15. Data-driven Marketing Will
Dominate:
● Increase in affordable and accessible
advanced data analytics tools
● Predictive analytics provide product
recommendations that are more
reliable and powerful

16. Decentralized Banking:
What is cryptocurrency?
● Cryptocurrency is a digital asset
designed as a medium of exchange
● It is decentralized so there is no need
for an intermediary like a bank to
legitimize the transaction
● Millennials are becoming more
comfortable with currency being
digital vs. physical

17. Cryptocurrency Used in Real
Estate Transactions:
● First real estate transaction in bitcoin
completed in Austin, Texas (BitPay
transacts bitcoin to USD)
● Open Listings includes search option
for bitcoin
● Future “smart contracts” with
ethereum to enable crypto mortgages?

18. “I envision having open-sourced mortgage
contracts that parties would interface rather than
using the traditional contract,”
- Jake Bryan, bitcoin consultant

19. Strategies to Adapt
Assessing your tech stack and adopting new technology
Section 03

20. 1. Assess and Prioritize
Companies must assess and prioritize areas
they believe are most in need of change to
meet customer demand, and create a
stronger organization. Consider:
● User experience
● Automation
● Simplicity to adopt
● Ability to integrate with other partners

21. 2. Choose technology your
employees will use
● Customer usability experience
● Employee usability
● Training and support availability

22. “It really is management that makes most of
these (technology buying) decisions… But a lot of
times managers think, ‘Oh, I can only imagine the
headache of the team learning this thing.’”
- Alex Ksutshin, Founder of Sales
Boomerang

23. 3. Campaign for Change
● Offer training and a consistent
email/social media campaign to
announce the “why” behind the new
technology changes (and their ease of
use!)
● Consider offering a summit with tech
demos and introductions

24. What’s in Your Tech Stack?

25. Dave Savage, CEO of Mortgage Coach,
co-authored tech stack assessment

26. 1. Borrower Education
Ed-tech that puts the borrower first
When choosing borrower education,
consider:
● Quality of education
● Consumer needs (language, financial
literacy, etc.)
● Ability to customize
● Shareability

27. Example:
● Video narration with clear explanation
of loan options
● View loan options and TCAs with
graphs, charts and videos
● Annual mortgage reviews
● Spanish language available

28. 2. Loan Origination System
(LOS)
Manages the transaction and disclosures.
When choosing an LOS, consider:
● Price
● User needs (i.e. are LO’s involved or
only processors?)
● Ability to automate
● Ability to integrate with other
technologies

29. Example:
The most comprehensive
solution on the market

30. 2. Product Pricing Engine
(PPE)
Manages different product and pricing
options & gives LO simple interface to see all
of the options.
When choosing a PPE, main consideration:
● Ability integrate with the LOS

31. Example:
● Secondary marketing automation
● Integrates with many vendors
● Risk management, dynamic margins,
conditional markups, historical
pricing, auto-locking, and LO comp
management

32. 3. Business Intelligence (BI)
Allows lenders to consolidate disparate data
sources and run business analytics to gain
business intelligence and run better
engines.
For next level application, consider:
● Pulling accounting data to see which
LOs are the most profitable

33. Example:
● Designed specifically for mortgage
companies
● Connects to every major LOS
● Use data to improve processes and
efficiency

34. 4. Point of Sale
Can provide the following functions:
1. Allow for digital applications
a. Choose clean interface and
design to make the process
simple and easy
2. Allow for transactional activity
a. Make applying and closing as
simple as possible
Think of this as “uberizing” the experience

35. Example:
● Secure information sharing
● Up-to-date pricing information
● Status updates
● Easy to use
● Simple design

36. 5. Customer Relations
Management (CRM)
Enables an LO to run a sales process that
includes:
1. Turning a borrower into a customer for
life
2. Managing referral partners
3. Lead management (next slide)

37. Examples:

38. 6. Lead Management
Separate category of CRM important to
consider in order to optimize sales process:
1. Must work well for your team
2. Integrates with CRM
3. Efficient and simple for users

39. Example:
● Automate routine sales
communication
● Messaging and analysis at appropriate
stages of the sales cycle

40. Example:
● Tracking software with borrower
intelligence
● Identifies new leads from past clients
or denied applicants

41. 7. Reputation Management
As consumers increasingly turn to online
reviews to help make purchasing decisions
it’s crucial to:
1. Aggregate customer reviews
2. Automate the process of requesting
reviews after closing

42. Example:
Automatically retrieves
customer reviews and
shares on social media

43. 8. Social Media Management
Does your company provide tools to help
loan officers manage social media in an
effective and compliant way?

44. Example:
● Social media content with borrower and
industry education
● Shareable content + webinars for agents

45. 9. Realtor Partnering
Technology
Increased investment in apps and solutions
to provide value to Realtors

46. Example:
● Create a profile page for each home
● Pin on map
● Add photos/descriptions
● Share with others

47. Check out our 2017 Mobile App Report!
modernloanofficer.com/apps

48. 10. Learning Management
System (LMS) and
Training
Training is critical to getting loan officers to
adopt new technology, modernize their
business practices, and remain compliant:
1. Unified portal for direct training and
information

49. Example:
● Digitized training with social
communication
● Online CE
● Compliant learning

50. In summary, adapt intelligently with AI!

51. Questions?

52. Digital Agency for Loan Officers & Lenders
● Comprehensive social media support
● Social media content & sharing
● Digital coaching

53. ModernLoanOfficer.com
kristin@culturaloutreach.net