Is the Mortgage Technology Market Closed? (Mortech Musings‪)‬

Mortgage lenders have slammed the brakes on information technology (IT) spending, Bend, Oregon-based MORTECH LLC's MORTECH survey of lender use of technology reports that the number of loan origination system (LOS) and systems shoppers is at the lowest level in the more than 20 years MORTECH has been published. As a matter of fact, demand for core processing systems has declined steadily for a decade. Vendors have been chasing a steadily shrinking number of potential customers. Should a technology vendor be in the enviable position of having an expanding customer base, the vendor simply is doing better than the market generally is permitting. For those owners of technology companies that have in recent years sold their businesses (e.g., Dynatek Inc., Livonia, Michigan, sold to ISGN Corporation, Chennai, India, in May 2007; Gallagher Financial Systems Inc., Nashville, Tennessee, sold to Wipro Technologies, Bangalore, India, in July 2008), their sense of timing is exquisite.