How to use AI for Mortgage

By Robert Pinedo and Knowledge Coop Development Team 

Artificial Intelligence, or more specifically natural language processing, has been in the news quite a bit recently. You have no doubt seen some doomsday-type headlines about the impact it is going to have on your job. The programs we see today are unable to truly think creatively, but are being used to automate and improve previously mundane tasks. Working in the mortgage space can be filled with mundane tasks whether you are an LO, Underwriter, or a Processor. At the Knowledge Coop, we are here to say that AI is here to help you with those mundane tasks, not take your job. That’s why we have put together a guide to help you use and prompt AI more effectively, to help you reap the rewards of AI and stay ahead of the game. 

 How to speak to AI: 

  • Try to address AI with simple commands, avoiding technical jargon or excessively complicated language. Speak clearly and concisely.
  • Break down your instructions into simple commands. For instance, instead of saying "Execute data retrieval algorithm," say "Find the necessary information for the mortgage application."
  • When seeking information or assistance, ask AI specific questions. For example, "What are the latest updates on mortgage rates?" or "Can you guide me through the application process?"

Remember, AI can only work with what you give it. Often, it is best to do your own research before you come to an AI assistant for insights. Having better information about what you are creating is going to give you better outputs from the assistant. 

How to Search Mortgage Guidelines:

  • The Knowledge Coop is invested in the future opportunities AI can provide the mortgage industry, which is why we are excited to announce that we are developing a new tool inside Coop+ that may help save you time and frustration searching for guidelines. 
  • If you are interested, go ahead and join our beta release for Cooper AI, a tool that can give you timely information on FHA and VA loans that could save you lots of time. 
  • When prompting our AI-powered assistant, focus on the actionable and important information first.  

Our AI model works best if you ask it the questions that matter most to closing your loan. For example, you might want to ask Cooper questions like “Can gift funds be used for the down payment or closing costs?” or “Can I use income from a second job?”

Subscribe to Coop+ to access the beta version of our newest productivity tool.

 How to Optimize Your Marketing:

  • Consider AI as a tool to understand your audience better. It can analyze data to identify trends, preferences, and behaviors, helping you tailor your marketing strategies.
  • Begin by using AI for simple personalization, like writing client emails that address clients by their names in emails or tailoring messages based on their location. This adds a personal touch without being overly complex.
  • Look into AI-driven tools that can automate routine marketing tasks. These might include scheduling social media posts or sending follow-up emails, allowing you to focus on more strategic aspects. We can’t necessarily give you specific guidance on this, but many tools exist to optimize your personal brand as an LO. 

AI can be a huge help when it comes to writing copy, and in the most advanced versions can even create visuals for you. Questions like “Write me a marketing post for LinkedIn that mentions the dropping interest rates” can yield impressive results from assistants like ChatGPT. You might be able to write a highly optimized social media post with no marketing experience whatsoever, given that you prompt these assistants clearly.

 Some of the limitations of AI:

  • The limitations of AI are subject to change over the next few years alone.
  • Using AI still requires proper judgment and understanding of AI platforms.
  • AI models are not capable of true creativity, and often will avoid making critical judgements. 
  • AI may not fully understand context, and may require contextual reminders.
  • AI can sometimes generate incorrect information, and should only be used sparingly to assist in mundane tasks.

Make sure to use AI platforms responsibly, and if something seems incorrect make sure to double check a trusted source. Above all it is always best to use your best judgment and never rely solely on AI for answers to critical questions