3 Ways Millennials Are Changing The Home Loan Process That Will Make You Thankful
Millennials are the largest generation since the Baby Boomers, they represent about a fourth of our entire population in America alone. Because of this they have a ton of buying power. Pair that with their affinity for all things digital and they’re making an impact on a variety of industries, which includes mortgage lending.
Here are 3 ways millennials are changing the home loan process.
1. They don’t talk, they text
Phones and faxes were the norm for decades, but as more and more millennials enter the marketplace for a home, less conversations and business transactions take place via these methods.
Most millennials want prompt and polite service through text and email.
Whether it’s sending updates about the loan process, or sending links to potential homes for millennials to research on their own, this shift in the way they want to communicate is forcing mortgage lenders and real estate agents to adapt.
2. They do their research
Millennials grew up with technology and because of that they’ve had constant information at their fingertips. It’s no surprise Google and the National Association of Realtors discovered 90% of home buyers searched online during their home buying process.
The availability of information means millennials are coming to the table more informed than the generations before them. Because of this they want new ways to feel engaged, forcing lenders and agents to attract and interact with the younger generation in innovative ways.
3. They’re on the go
Millennials, like just about everyone else, want access to their information on the go – they just seem to be out and about more.
Technology is becoming a crucial part in acquiring this demographic.
Lenders need to have apps, ways to check loan status on the go, and ways to allow customers to digitally submit critical information such as bank statements and tax forms without borrowers having to visit an office or use outdated technology like fax machines.
What this means for you
As lenders and real estate agents adapt to meet the needs and wants of this generation the process will continue to become more technologically driven.
The increased digitalization of the home loan process, coupled with the millennials’ desire for a quick and dependable mortgage process, could potentially lead to faster and more secure closings.
Only time will tell how this generation will fully impact the home buying process, but it’s safe to say the mortgage industry will never be the same for future homebuyers.