Language remains one of the biggest barriers to ownership for many Hispanics, with nearly 1 out of 4 of Hispanic & Latino Americans (23%) reporting language as a barrier during the mortgage application process, creating barriers to homeownership. TidalWave, an AI-powered fintech, today announced the launch of a Spanish-speaking AI integration for mortgage lenders through its SOLO™ engine. This solution aims to tackle significant hurdles faced by Hispanic mortgage seekers in the United States by allowing loan officers using TidalWave's SOLO POS (point of sales) to enable a Spanish-language loan application.
NEW YORK, Jan. 28, 2025 /PRNewswire-PRWeb/ --
- Language remains one of the biggest barriers to ownership for many Hispanics, with nearly 1 out of 4 of Hispanic & Latino Americans (23%) reporting language as a barrier during the mortgage application process, creating barriers to homeownership
- TidalWave's AI platform will allow lenders to provide a communication experience that includes application, processing, status updates across the full life cycle of the loan, all in Spanish
- Will also help Spanish-speaking borrowers navigate the complex loan process, offering instant support and clarification on mortgage terminology and requirements.
TidalWave, an AI-powered fintech, today announced the launch of a Spanish-speaking AI integration for mortgage lenders through its SOLO™ engine. This solution aims to tackle significant hurdles faced by Hispanic mortgage seekers in the United States by allowing loan officers using TidalWave's SOLO POS (point of sales) to enable a Spanish-language loan application.
Hispanic Americans face significant language-related challenges when applying for mortgages, creating barriers to homeownership
Nearly 1 out of 4 of Hispanic Americans (23%) reported language as a barrier during the mortgage application process, yet only 17% of Hispanic borrowers received translation services from their mortgage lenders. As a result, nearly one in three (31%) considered abandoning the application process due to language-related challenges and extended timelines.
Additionally, 1 of 2 Hispanic Americans (51%) incurred additional costs by hiring professional translators. Underscoring the problem is a report from NAHREP reports that the number of Spanish-speaking real estate professionals needs to double in order to keep up with the demand.
TidalWave's AI-powered solution addresses these issues with a fully translated experience:
Unlike systems that rely on partial translations or Spanish-speaking representatives, TidalWave's SOLO™ provides AI-powered guidance to help Spanish-speaking borrowers navigate the complex loan process, offering instant support and clarification on mortgage terminology and requirements. The system maintains its seamless integration with Fannie Mae and Freddie Mac's automated underwriting systems for Spanish-speaking applicants.
"Spanish-speaking immigrants have more than $1.7 trillion in buying power, yet continue to be underserved and underrepresented because vital documents such as prerequisite explanations, loan applications, appraisal documents and closing contracts are rarely presented in Spanish," said Diane Yu, co-founder and CEO of TidalWave. "Language barriers create difficulty understanding critical loan information, make it challenging for Hispanic borrowers to comprehend important details about loan terms, projected monthly payments, and closing costs."
One study finds that among the 10 largest mortgage lenders, only five translate their entire websites into Spanish. Without language barriers, the homeownership rate among LEP (limited english proficiency) households has the potential to increase to 45.6 percent—or nearly 300,000 new homeowners.
TidalWave's AI-powered solution, SOLO™ also offers increased accessibility for lenders as they can now
effectively serve the growing Hispanic market without the limitations of staff language capabilities and a fully translated experience throughout the entire application process. Additionally:
- Improved efficiency and cost saving for lenders: The AI-driven process significantly reduces the time and cost associated with loan origination, traditionally over $10,000 per loan.
- Enhanced equity: By providing clear, language-appropriate information, TidalWave's SOLO™ helps address the disproportionately high mortgage application denial rates faced by Hispanic borrowers.
- Real-time AI assistance for Hispanic mortgage seekers to navigate complex mortgage terminology and requirements
"AI is disrupting mortgage lending by breaking down language barriers," added Yu. "We're prioritizing Spanish as our first language expansion, with a vision to enable lenders and mortgage seekers to communicate seamlessly across multiple languages, making homeownership more accessible for non-English speakers."
TidalWave joins this growing number of mortgage industry initiatives aimed at improving access to homeownership for Latino communities. Their AI-powered Spanish-language integration for mortgage lenders addresses language barriers and provides comprehensive assistance throughout the application process, aligning with the industry's efforts to increase Hispanic homeownership rates. For more information, please visit www.TidalWave.ai.
Media Contact
Tanya Hayre Gillogley, TidalWave, 1 (833) 378-4108, [email protected], https://www.tidalwave.ai/
SOURCE TidalWave
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