The First Mortgage Lending 2.0 Mashup?
There is lots of talk about Zillow entering the mortgage lending space and creating Mortgage Lending 2.0.
Currently the issue is most mortgage web sites don't actually help consumers do anything, they are simply lead companies who resell the data. Current consumers will check current rates on a site like Bankrate, if rates are lower than what what they currently have they will go to LendingTree to complete a form to have lenders call back and calculate the actual savings of refinancing. At that moment the consumers credit is ran which increases the chance of dropping their FICO scores, even if the consumer decides not to refinance because the savings don't make sense.
If the savings are not large enough, the lenders will usually try and sell a "creative" financing option to save the deal. That's where trouble sometimes happens as evidenced by the current mortgage crisis and the millions of borrowers who got "sold" a creative loan.
Not a very efficient process.
We believe we have taken the first step into mortgage lending 2.0 with a dock-able mortgage widget.
We mashed up a mortgage calculator, mortgage rate feed, monthly / annual / life savings calculation into a single widget that they users can access anytime without providing any personal information, no running of credit and no pressure.
This mortgage widget installs directly onto your IGoogle.
Install the refinance calculator gadget onto your igoogle now and give us your feedback.
Are tools like this the future of mortgage lending and is this the first mortgage lending 2.0 mashup?