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Mortgage lenders urged to prioritize governance before adopting AI
HousingWire panelists said AI implementations must keep human oversight and ongoing monitoring in place because automated decisions remain subject to fair lending rules.
Mortgage lenders considering artificial intelligence should start by clearly defining the business problem they want to solve, rather than choosing tools based on the latest technology, HousingWire reports from its AI Summit.
Panelists Amanda Tucker, chief risk and compliance officer at Atlantic Bay Mortgage Group, and Michael Crockett, chief operating officer at Xactus, warned that the growing number of AI tools in mortgage workflows can make it hard for lenders to identify where the technology can deliver real value.
They said lenders need governance, employee training, and controls, especially when AI is consumer facing or involved in decision making. Crockett added that adopting AI does not remove fair lending and compliance obligations, and systems still require monitoring as data and models change.
Tucker said the most immediate opportunities may be in repetitive manual tasks that consume employee time, including support for reviewing legal documents and vendor contracts, analyzing mortgage guidelines, and quality control and compliance monitoring. She also said lenders can test AI on a small scale over several days for noncritical functions, while broader deployment should involve multimonth due diligence, governance standards, success metrics, and ongoing monitoring.