In the May 19 episode of Optimal Insights, host Jim Glennon is joined by James Cahill, Kevin Foley, and Shawn Chandwani for a discussion on the current economic landscape and the transformative role of artificial intelligence (AI) in the mortgage industry.

Key Insights:

Market Update & Economic Trends

• Inflation Metrics: The Consumer Price Index (CPI) registered at 2.3%, slightly below expectations, while the Producer Price Index (PPI) posted a surprising -0.5% reading – signals that inflationary pressures are beginning to ease across both consumer and wholesale levels.
• Tariff Impacts: Despite new tariffs, consumer prices remain relatively stable due to large inventories and strategic pricing by wholesalers and retailers. Electronics and imported goods are seeing inflationary effects, while energy prices have dropped significantly.
• Retailer Perspective: Walmart’s CFO warned of upcoming price increases and potential shortages, highlighting the broader economic implications of ongoing tariff policies.
• Market Resilience: Despite some media narratives, mortgage volumes are strong – 110–115% of 2019 levels – with healthy refinance activity.

• AI Overview: Kevin Foley and Shawn Chandwani explore the evolution of AI, particularly the rise of large language models (LLMs), and how they’ve revolutionized user interaction and business applications.

• Originator Assistant: Helps loan originators identify optimal loan terms by analyzing small scenario changes. It leverages AI to evaluate pricing rules and generate borrower-friendly recommendations in seconds.
• Ask Obi: An AI-powered executive assistant that gives executives instant, interactive access to granular data insights and trends to improve business decisions. Ask Obi gives lenders the power to view their operations holistically with data aggregation across Optimal Blue’s comprehensive capital markets platform, reaching across all areas of loan origination.

• Start Small: Begin with basic AI implementations like document summarization or internal policy Q&A tools.
• Focus on Data: Clean, structured data is essential for effective AI use.
• Embrace Education: Encourage learning and experimentation to build internal AI fluency.
• Leverage Partnerships: Collaborate with technology providers to accelerate development and adoption.

Hosts & Guests:

• Jim Glennon, Vice President of Hedging and Trading Client Services, Optimal Blue
• James Cahill, MSR Account Manager, Optimal Blue
• Kevin Foley, Director of Product Management, Optimal Blue
• Shawn Chandwani, Senior Software Engineering Manager, Optimal Blue

• Executive Producer: Sara Holtz
• Producers: Matt Gilhooly & Hailey Boyer

Mentioned in this episode:

Capture for Originators

Reengage Past Clients Without the Spreadsheet Headache Tired of manually hunting for refinance opportunities? Capture for Originators does the heavy lifting for you. It automatically scans your closed loan portfolio and flags recapture opportunities – no spreadsheets, no manual work. Just actionable recapture opportunities delivered straight to you. Learn more: https://www2.optimalblue.com/optimal-blue-launches-new-lead-generation-tool-for-originators or reach out to your Optimal Blue Client service representative for more information.

Market Advantage Report – Newly Expanded With New Origination and Secondary Markets Data Points

Smarter Lending Starts with Smarter Data The newly enhanced Market Advantage report from Optimal Blue delivers unmatched insights across both origination and secondary markets, including property type, debt-to-income ratio, first-time homebuyer status, servicing rights, market rate indices, and investor count at loan sale. 📊 Get the data from the engine that powers your profitability. https://engage.optimalblue.com/market-advantage