Mortgage Industry Year in Review

2023 was an interesting year for the industry. Let’s learn from it.

Mortgage professionals across the nation are hard at work wrapping up 2023: closing those final deals, setting goals for the new year, and overall looking to the future. But before we jump into 2024, it’s critical to reflect on what we’ve learned this year.

The past year has been a bit tricky when it comes to the mortgage industry. That doesn’t mean that there weren’t valuable lessons and takeaways, though. Don’t forget that learning from the past is one of the best ways to prepare for the future!

 So, before we usher in the new year, let’s just review some of the biggest mortgage news and trends from 2023. Each one has a few key takeaways for mortgage professionals, so you can tie a bow on 2023 and make 2024 your best year yet.

Inventory, Interest Rates, and Affordability Challenged Buyers

It’s no secret that 2023 proved challenging for would-be homebuyers. For starters, there just weren’t many homes on the market. Interest rates for the second half of the year also seemed particularly high when compared to COVID-era numbers. Plus, high purchase prices, of course.

The result? Believe it or not, 2023 was the worst year on record for homebuyers.

While it may have been a bit slow, don’t worry just yet. Experts are predicting a changing of the tides in 2024, meaning plenty of opportunity for you and your business. So, get good and ready!

You should also give yourself a pat on the back for the buyers you did help in 2023. The market was far from easy, which means you made a measurable difference in their lives and financial futures. Now that’s something to celebrate.

Customer Care Became Paramount

In such a difficult environment, mortgage professionals were forced to focus more and more on the customer experience. You may have found yourself in the role of advisor, confidant, or shoulder-to-cry-on a number of times over the past year.

Some of the top tips we heard included:

• Clear, consistent communication
• Flexibility and adaptability
• Online and mobile accessibility
• A wide variety of available loan options and mortgage products
• Personalized service
• Mutual trust

While the pace may pick up a bit in the new year, don’t let customer service slip through the cracks. A great experience can differentiate you from the competition, encourage repeat or referral business, and simply create a more positive process all around.

Efficiency Remained Top of Mind

This past year gave mortgage professionals an opportunity to audit their processes, make any necessary adjustments, and prepare to hit the ground running in 2024.

 One common theme that emerged during the pandemic, but has only grown stronger, is the power of technology. Digital tools allow mortgage professionals to automate and expand their abilities, all while reducing costs.

 They’re also just what consumers are asking for. In 2023, roughly one-third of Americans considered online experiences to be meaningful replacements for in-person experiences. That figure jumps to 50% in Millennials and Gen Zs, who may be one of the major audiences for many mortgage professionals. In other words, tools like online dashboards and automated email campaigns reigned supreme.

If you haven’t already hopped on the digital train, you may definitely want to explore that in 2024. Whether updating your social media profiles or investing in mortgage tech, your clients are sure to thank you.

Final Thoughts on the 2023 Mortgage Market

So, did you feel the pressure over the last year? Did you find yourself nurturing client relationships or fine-tuning tech?

Regardless of the challenges in 2023, we’re all gearing up for a new year together! Make a point to learn from the past and keep an eye on emerging trends in the mortgage industry to make 2024 your best year yet.

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