Black Knight Mortgage App Helps Lenders Return Refi Business
Homeowners can now use an app provided by their loan department to manage payments, also track their home’s current value, check refinance rates, purchase mortgage insurance, and initiate requests for help when they run into trouble. to make their mortgage payments.
Black Knight has made these “self-service” capabilities available to consumers through its Digital service solution, which is now integrated with several of the company’s other offerings, including its Automated Assessment Models (AVM) and Optimal Blue PPE, a widely used product, pricing and eligibility engine.
Black Knight introduced Servicing Digital in 2018 to help mortgage borrowers make payments, view detailed payment history, and explore loan repayment or refinancing scenarios.
The integration of AVMs from Black Knight’s Collateral Analytics allows consumers to get an accurate picture of their home’s value, leveraging the same valuation models that lenders use when taking out loans and calculating loan rates. refinancing opportunities. And integration with Optimal Blue PPE gives consumers instant access to personalized refinancing pricing and eligibility – giving lending services the ability to “win back” homeowners when they refinance, the company said.
“The power of Black Knight is that we are able to bundle many of our solutions to create a better customer experience and improve the efficiency of maintenance services,” said Black Knight President Joe Nackashi, in a declaration. “With retention rates near historic lows, a growing number of service providers are realizing that delivering a superior customer experience is critical to success. “
Fannie Mae and Freddie Mac dropped the 50 basis point refinancing fee on August 1, which could prompt homeowners to refinance their existing mortgages. The fees were around $ 1,400 for a borrower refinancing a typical mortgage loan of $ 280,240.
Black Knight is also promoting Servicing Digital as a tool that can help homeowners who are having difficulty making payments, by allowing them to initiate requests for assistance – including forbearance, forbearance extensions, or loan modifications – without having to make a call.
This feature could help loan services manage what is expected to be a crush of homeowners seeking help when their pandemic-related forbearance plans end in the coming months.
Black Knight estimates that 65% of active forbearance plans, representing 1.2 million homeowners, will expire this year. With so many plans expiring in such a short window, loan departments could deal with an average of 18,000 homeowners coming out of forbearance each business day this fall.
The Consumer Financial Protection Bureau finalized new rules in June, warning lending services not to initiate foreclosure proceedings against borrowers until they have had a chance to seek help but are not eligible, or if a house has been abandoned or if the borrower cannot be reached.
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