Agentic AI vs. generative AI: Why the difference matters
Generative AI tools like ChatGPT, Claude, and Gemini are designed to assist with content creation. They’re great for writing emails, scripting videos, or answering borrower FAQs. But generative tools are reactive, they wait for and rely solely on user prompts.
Agentic AI, on the other hand, is proactive. It takes initiative. It can navigate workflows, respond dynamically to borrower data, adapt presentations based on rate changes, and surface insights without being asked. Think of it less like a digital assistant, and more like a digital teammate.
This matters because the next generation of mortgage SaaS solutions must do more than feature AI tools and chatbots that generate content. These next generation AI mortgage tools must simplify, personalize, and act on behalf of the loan officer and for the borrower’s benefit.
Why most mortgage SaaS software misses the mark
Even as many lenders invest heavily in digital tools, tech stack user adoption remains a major hurdle. In fact, even mortgage thought leaders in the space are starting to admit it. On a recent podcast, a mortgage industry thought leader said out loud what many of us already knew: mortgage lenders are struggling to secure SaaS tech adoption. Loan Officers (Los) aren’t using the tools they’re given. And that’s not just a user problem, it’s a product problem.
Within mortgage lending, the reasons for this are especially acute:
- “It takes too long.”
- “It’s too complicated.”
- “It doesn’t help me close more deals.”
These aren’t minor complaints. They’re signs that mortgage SaaS software is often misaligned with the day-to-day realities of loan officers. Mortgage SaaS platforms are built with features in mind, not user experience. And when complexity outweighs clarity, usage plummets.
The human cost of underutilized software
When LOs ignore or skip tools meant to make their lives easier, productivity suffers and so do borrower experiences. Legacy mortgage presentation tools may offer robust functionality, but if they require hours of training, clunky navigation, or too many clicks, they become liabilities, not assets.
Even worse, they fail to build confidence. And confidence, in this business, is everything.
The boom is coming. Will your mortgage tech stack be ready?
Interest rates are expected to drop into the 5-6% range in the next cycle, triggering a wave of refinances. Millions of homeowners who bought or refinanced at higher rates will look to take advantage of the shift.
For the LOs who’ve remained in the industry, this is an opportunity. However, it’s only an opportunity if you’re equipped to move fast, explain options clearly, and earn borrower trust. After all, considering the informed, curious and empowered home buyers of today, LOs can’t afford to waste time with SaaS platforms that don’t meet demands of modern borrowers.
Legacy mortgage SaaS tools weren’t built for this. Agentic AI-powered mortgage SaaS solutions are. These platforms don’t just automate, they anticipate:
- Agentic AI analyzes loan officer activity within the platform to identify which reports, strategies, and tools are driving the most closed deals empowering management to surface best practices, refine workflows, and scale success across the team.
- They help LOs build professional, personalized reports in minutes based on the unique needs of each individual borrower.
- They simplify the lending process in a way that empowers both the lender and the client.
Equipping loan officers to lead the next era
Today’s borrowers show up having already done research. They’re using calculators, comparison tools, and watching interest rate trends daily. To earn their trust, LOs need tools that keep pace. Tools that are informative and intuitive, yet user-friendly.
Confidence in mortgage lending isn’t just a vibe, it’s a competitive advantage. Agentic AI powered mortgage SaaS platforms help LOs walk into every borrower meeting with data-backed clarity, clear loan comparisons, and real-time financial projections.
That kind of preparedness wins business. It drives referrals. And it builds the reputation every top-producing LO wants.
Bringing it all together
The shift we’re seeing in mortgage lending is about more than automation. It’s about transformation. Mortgage SaaS platforms that are proactive, intuitive, and built with agentic AI at their core – not generative AI bolted on later as an afterthought – will define the next decade and beyond.
We’re entering a new market cycle. Lenders that adopt agentic AI-powered platforms are already separating from the pack not by working harder, but by working smarter.
Let’s move the conversation beyond chatbots. Let’s talk about the kind of AI that acts not just reacts. Let’s talk more about agentic AI.
Shawn Brown is the founder and CEO of Mortgage Maker AI.
This column does not necessarily reflect the opinion of HousingWire’s editorial department and its owners. To contact the editor responsible for this piece: [email protected].