Technology Transforms Mortgages for First-Time Home Buyers

WASHINGTON, D.C. — Helping first-time home buyers navigate the complexities of homeownership has become a key role for real estate professionals. Recent insights shared during a virtual event organized by the National Association of Realtors (NAR) highlighted the transformative power of technology in the mortgage process.

The event, titled “New Ways to Serve First-Time Home Buyers,” featured Fannie Mae executives Katrina Jones and Stacey Shifman. They discussed how technology makes the mortgage process smarter, faster, and more inclusive for potential homeowners.

Jones, VP of mission and impact at Fannie Mae, emphasized that understanding current housing trends is critical to supporting first-time buyers. She noted that many new buyers encounter challenges such as limited credit history and high initial costs. “You all play a very important role, as my mom would tell me as a former agent. She would say you are the trusted advisors, the ones who are walking alongside individuals and families as they navigate the housing process,” Jones stated.

Shifman, VP of single-family consumer credit analytics, highlighted specific innovations from Fannie Mae’s Desktop Underwriter (DU) system. The system uses third-party data to validate income, assets, and employment, which assists borrowers with limited credit history. This approach is expected to help expand the pool of eligible buyers.

“Having this data available is really just a game-changer for underwriting,” Shifman explained. “It allows us to identify qualified borrowers who might have been overlooked by traditional methods.”

Both executives encouraged real estate professionals to engage with lenders regarding these new capabilities. They concluded the event with a call to action for agents to provide resources for first-time buyers and to advocate for their needs in the industry. Last year, Fannie Mae financed nearly $380 billion in the housing market, illustrating its commitment to improving access to homeownership for all.