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Apr 13
Construction Loan Automation helps increase draw incom

Loan profits increase in 2020 according to MBA report

By Article

The average profit on each loan originated in 2020 was up significantly compared to the average profit in 2019. Construction loan automation streamlines the loan process, resulting in quicker turnaround.

“Independent mortgage banks and mortgage subsidiaries of chartered banks made an average profit of $4,202 on each loan they originated in 2020, up from $1,470 per loan in 2019, according to the Mortgage Bankers Association’s (MBA) Annual Mortgage Bankers Performance Report.”

 

What this means for Lenders

What does this mean for lenders? Increasing draw fee income is on everyone’s mind. Bankers are turning to new technology like construction loan automation to do just that. Construct is an online tool helping banks streamline their construction lending process, and borrowers love using it. It’s a great way to differentiate your bank for the competition.

Bank leaders around the country are getting behind loan automation tools like Construct as a way to increase their interest fee income. By speeding up the process, lenders are saving days on their loan cycles, resulting in higher margins.

How Construct Helps

What else can loan automation tools do for you? Lenders are finding that staff has a greater capacity to take on more loans with Construct, because so many of the tedious steps are taken out of the equation for them. Instead of 100 projects, some lenders are able to now handle 250 projects using Construct. As the construction sector bounces back from Covid, more companies will be looking for loans. In fact, demand for newly constructed housing is on the rise too. This is great news for lenders looking to increase their project portofolio.

Construct takes the spreadsheets out of the lending process and sends users real time alerts. When an inspection is done, you automatically get notified and can complete the next steps from anywhere, right from your phone, in minutes.

 

 

IMB Production Volumes and Profits Reach Record Highs in 2020 | Mortgage Bankers Association (mba.org)

Construction Loan Automation helps increase draw incom

Mar 08
Construction Loan Automation

MBA data shows demand for newly constructed homes jumps 19%

By Article

MBA data shows demand for newly constructed homes jumps 19%

 

2021 has brought something good – more mortgage applications for newly constructed homes. The Mortgage Bankers Association Builder Application Survey data shows that mortgage applications for newly constructed homes jumped 19% compared to last January. This demand is going to increase the demand for mortgage loans as well as help spur new development. All of this is great for the construction lending industry. More construction loans means more fee income, but it also means more work for lenders.

To help gain efficiency and handle the upcoming demand, many banks are looking for digital solutions to streamline their lending process.  Our construction loan automation solution eliminates spreadsheets and cut days off processing time. What does this mean? An 8-12% increase in draw interest, not to mention days saved. Cutting your processing time means your staff can handle more loans without getting overwhelmed.

With the increased demand for newly constructed housing comes an increased demand for construction loan administration. Construct can help you manage this demand.

Source:

https://www.mba.org/2021-press-releases/february/january-new-home-purchase-mortgage-applications-increased-189-percent

 

 

 

 

Feb 24
Bank Director article

Construction Loan Automation helps alleviate top concerns for banks in 2021

By Article

Construction Loan Automation helps alleviate top concerns for banks in 2021

 

Each year BankDirector takes a pulse of the industry, asking top leaders what their biggest concerns are and what is on the minds of bankers around the country. This year, the answer was surprising. With the advancements in technology and the growing trend of M&A, banks are looking to differentiate themselves. How are financial institutions positioning themselves to do this?

One way is by keeping up with the digital demand. Customers and partners alike have become accustomed to modernized digital solutions for common banking practices. This includes an intuitive experience and automation options. The days of exchanging spreadsheets is over. BankLabs has seen an uptick in demand for construction loan automation software. Our solution, Construct, streamlines this process for banks. This not only saves them time but grows their net interest simultaneously. Vendors are seeking digitization from banks, making this software a great differentiator.

BankDirectors survey also revealed that 53% of those surveyed are concerned about net interest margin pressure when thinking about their institutions long term viability. How does Construct help your net interest? By accelerating cycle times, Construct helps you fund draw requests days earlier than before. We have found that on average, our clients increase their draw income by 8-12%.

With changes in face to face business interactions and increased acquisitions across the country, banks are looking to differentiate themselves with digitization and relieve net interest margin pressure. One tool they are finding useful in alleviating both concerns is Construct – a cloud based solution for automating your construction loan needs.

Source:

Governance Survey Results: Directors Sound Off on Diversity, Performance

 

Aug 13
CU broadcast podcast image

CU Broadcast Interview – SRP FCU’s Will Scott & BankLabs Matt Johnner

By Insights, Video Interview No Comments

We’re proud to work with credit unions like SRPFCU that prioritize taking care of members . Check out the latest episode of CUBroadcast to hear firsthand from Will Scott of SRP about his experience working with us and how his credit union has been able to grow: https://www.cubroadcast.com/episodes/1107-how-srp-fcu-has-used-banklabs-commercial-lending-technology-to-help-the-credit-union-grow

Sep 25
waves

CenterState Bank & BankLabs Win Innovation Award – Mobile Construction Loan Automation

By Award, Insights, Press Release No Comments

Little Rock, Ark., September 25, 2018 – BankLabs, a national provider of innovative mobile technology products for financial institutions, today announced that Fla.-based CenterState Bank has signed on for BankLabs’ cloud-based construction loan management product, Construct.

Construct is a banker-centric, web-based service that automates the post-close administration of construction loans for lenders. Accessible from any phone, tablet or computer, it eliminates the need for paper files and spreadsheets, increases bank productivity, mitigates the risk of overfunding projects and improves the experience for both the builder and borrower.

“We were in need of a modern and mobile approach to improve efficiency and consistency, while simultaneously improving the borrower experience and reducing risk with real-time reporting,” said Frances Mansour-Bergin, vice president and construction loan administration manager at CenterState Bank. “Construct has completely automated our loan administration, inspection and draw process, making a highly complex practice very quick and efficient. It has made processing construction loans easy for everyone involved, including the builders and borrowers.”

Construct has proven to reduce loan administration time by 50 percent, lower inspection costs, identify and mitigate potential risks and enhance the borrower/builder relationship through mobile access. Financial institutions using Construct have already seen an eight to 12 percent draw interest improvement, as well as a decrease in cycle time from days or weeks to minutes.

CenterState was recently recognized as a winner of the second annual Impact Awards through its usage of BankLabs’ solution. The awards, independently judged by Celent, identify organizations that are using technology or services in innovative ways to better serve their customers and drive tangible results. CenterState was acknowledged for its innovative construction lending solution.

“We are thrilled that CenterState is not only seeing improvements since implementing Construct, but that they are being recognized for those improvements,” said Matt Johnner, president and co-founder of BankLabs. “We are proud to partner with innovative financial institutions, like CenterState, that are ready to embrace change and mobility in the construction finance industry.”

About BankLabs

The mission of BankLabs is to reimagine banking products of the future through community-oriented technologies that create new fee income, attract deposits, expand loan opportunities and differentiate the financial institution from competitors. BankLabs believes that community banking is a way of doing business, not a size, location or traditional definition. For more information, visit banklabs.com.

Jul 05
Construtech 50 2018 logo

BankLabs Selected to Constructech 50 for 2018

By Award, Insights No Comments

BankLabs is honored to be named to Constructech’s Top 50 companies in 2018 for construction technology for our construction payment automation product, +Pay. This program recognizes the leading technology and software companies – from companies with a single offering to companies that may house multiple software or hardware platforms.

Our +Pay product is cloud-based and accessible from any mobile device or computer. It standardizes builders and general contractors payment process to improve efficiency, provide real-time data access and help their sub-contractors succeed.  Features include electronic payment requests from sub-contractors, including supporting lien waivers and invoices. The product automates 1099 tax reporting and provides fast and easy electronic payments to sub-contractors.

 

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