Published by the National Association of Realtors magazine, 11/18/2019

Overall, mortgage borrowers were a bit less satisfied with the lending process this year, which J.D. Power attributes, in part, to an increase in technology and less customer service. 

NEW YORK – Customers were slightly less satisfied with mortgage originators in the second quarter, and too much technology may be the culprit, according to the latest J.D. Power 2019 U.S. Primary Mortgage Origination Satisfaction Study. The study said lenders have added self-service technology to the mortgage process while trimming customer-facing staff, but too much tech may fall short of customers’ expectations for service.

“It is critical that originators get the balance right between tech and staffing to be able to deal with the swings in loan volume that can dramatically change from month to month,” says John Cabell, director of wealth and lending intelligence at J.D. Power.

Researchers found that a bulk of the loan origination process is managed manually via email and phone, despite the industry’s push toward self-service tools and mobile apps. In fact, only 15% of customers surveyed said they used their mortgage originator’s mobile app. Overall, customer satisfaction scores tended to be higher when they had access to their loan’s real-time status via an online portal.

Overall, Quicken Loans ranked highest in J.D. Power’s mortgage origination satisfaction for the 10th consecutive year. Fairway Independent and Guild Mortgage Company followed at second and third, respectively, on the list.

J.D. Power’s 2019 U.S. Primary Mortgage Origination Satisfaction Study measures customer satisfaction based on the following performance factors: application/approval process; communication; loan closing; and loan offerings. The study is based on responses from 4,602 customers who originated a new mortgage or refinanced over the past 12 months.