A recent report indicates that, driven by regulations, loan servicing technology is migrating to the cloud. One service provider seems to recently be dominating the market.
Research and Markets reported last month that the global loan servicing market is expected to grow at a compound annual growth rate of 14.19 percent from 2017 to 2021.
The report indicated that the
global loan servicing software market is currently witnessing the emergence of software-as-a-service-based loan servicing technology.
“One of the major drivers for this market is need to comply with multiple regulations,” the report stated. “Organizations are made to follow regulatory requirements to protect and manage the corporate information.”
But security risks with SaaS are hindering the growth of the market, which is dominated by
firms like FICS, Fiserv and Mortgage Builder.
Black Knight announced last month that its
Lien Alert portfolio monitoring tool has been integrated with its LoanSphere mortgage servicing platform.
Clients of the Jacksonville, Florida-based company will receive automatic notifications about changes in the status of properties in their loan portfolios.
Black Knight reports that its LoanSphere system is utilized by servicers on more than 30 million loans.
This month, Black Knight reported that Evergreen Home Loans and Huntington Bankshares Inc. signed contracts to utilize LoanSphere. Also signing on in February was RoundPoint Mortgage Servicing Corp., which services more than $75 billion in mortgages.
In January, Black Knight reported that Cenlar FSB and Webster Bank renewed their contracts to continue using LoanSphere.
Clients to sign, renew or expand their LoanSphere contracts last year included AmeriFirst Home Mortgage, Bayview Loan Servicing LLC, Ditech Financial LLC, New American Funding, PennyMac Loan Services LLC and TruHome Solutions LLC.
On Monday, LRES announced the launch of a lien solution. According to the Orange, California-based firm, the complete lien alert solution enables servicers to continuously stay informed with the latest updates on their loan inventory. Servicers can sign up for up to 10 types of alerts.
“Our lien alert solution provides servicers with instant access to relevant lien activity on their loan portfolios so they can keep a closer eye on their inventory and react to any changes or updates accordingly,” LRES Chief Executive Officer Roger Beane said in the statement.
