The alliance emphasizes the reduction of duplicate data entry, a common pain point for mortgage professionals. By automatically populating borrower details, property characteristics, and closing information across systems, the platform minimizes the need for manual intervention. This synchronization extends to document management as well. As valuation reports, flood determinations, and title documents are generated, they are automatically synced within the integrated workflow, ensuring that all parties—from the loan officer to the underwriter—have access to the most current information without having to search through disparate files or email attachments.
This focus on integrated workflows is intended to help lenders limit their reliance on disconnected vendors. By consolidating these services under a single strategic alliance, banks and credit unions can simplify their vendor management processes, potentially reducing overhead costs and improving the overall reliability of the data used in their lending decisions.
Harnessing Property Intelligence for Market Growth
Beyond the immediate goal of speeding up the closing process, the alliance provides lenders with sophisticated tools to identify and act on new lending opportunities. Cotality’s property intelligence platform is a cornerstone of this capability, offering data that covers more than 99% of residential properties in the United States. This vast database includes ownership history, detailed valuation data, tax records, and property condition insights.
For lenders, this wealth of information is not just useful during the application phase; it is a powerful tool for portfolio management and customer retention. The alliance allows lenders to access property and portfolio data to proactively identify which of their existing customers might be eligible for a home equity line of credit (HELOC) or a home equity loan.
In a competitive market, the ability to engage borrowers before they begin searching for financing elsewhere is a significant advantage. The companies noted that by leveraging these combined data and valuation insights, lenders could develop more targeted lending strategies and strengthen their relationships with existing customers. For instance, a bank could identify a long-term customer who has seen a significant increase in their property value and reach out with a pre-qualified home equity offer, effectively turning a data point into a business opportunity.
Perspectives from Leadership
The leadership of both companies emphasized that the alliance is a direct response to the evolving expectations of today’s borrowers, who have become accustomed to the speed and transparency of digital-first financial services.
Tedd Smith, the CEO of FirstClose, highlighted the mounting pressure on lenders to modernize their operations. “Home equity lenders are under pressure to deliver a faster and more seamless borrower experience without increasing operational complexity,” Smith said. He noted that the relationship with Cotality is a strategic move to combine "best-in-class property intelligence, workflow automation and integrated data tools." According to Smith, this combination is the key to helping lenders "modernize originations and achieve a true seven-day close."
