5 Takeaways from MBA Servicing 2026

AI, escrow pressure and the experience imperative

Coming off of the heels of this year’s MBA Servicing conference it’s very clear that the servicing sector is operating in a high-pressure environment where precision, communication and disciplined innovation matter more than ever.  

Across panels, hallway conversations and executive roundtables, the same themes surfaced repeatedly—rising escrow pressure, tightening regulatory guardrails, uneven AI adoption and intensifying margin dynamics.  

Cotality executives participated in three sessions at this year’s event:

• Demystifying Escrows – Communicating Increases without the Confusion (Dustin Moore, Vice President, Product Management)

• Servicing Through Climate Catastrophes (Scott Giberson, Director, Product Management)

• Beyond the Dashboard – Hidden Risks in Your Servicing Portfolio You Can’t Afford to Miss (Praveen Chandramohan, SVP, Origination Growth Solutions)

Here are the major themes that our team left Dallas with this year — and what they mean for lenders and servicers moving forward.

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1. Escrow is the front line for customer experience

In the Escrow Essentials panel, one reality stood out: escrow has become one of the most visible and emotionally charged moments in the servicing lifecycle.

Rising insurance premiums and property taxes are driving payment increases, and for many borrowers, escrow is the first time they feel that reality. The friction often surfaces in the call center — when a borrower goes to make their monthly mortgage payment and realizes the amount has changed.  

The operational instinct in servicing has historically been to “fix the escrow statement.” But the panel discussion reframed the issue. The challenge isn’t just to document clarity, it’s consistency, transparency and cross-team alignment.

Several themes emerged:

• Break down silos between escrow analyses, call centers and client-facing teams so messaging is consistent.

• Proactively communicate before annual escrow analyses hit inboxes.

• Use short, targeted content at friction points to reduce confusion.

• Equip teams with robust knowledge bases so agents can confidently answer complex escrow calculation, insurance and tax-related questions.

Servicing at its core is a communication challenge. The servicers who treat escrow as a relationship touchpoint, not just a compliance requirement, are better positioned to protect both portfolio performance and borrower loyalty.

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2. AI is everywhere – but governance is the differentiator

Unsurprisingly, AI dominated the agenda this year. In fact, multiple attendees described the first day as heavily AI-focused. But beneath the excitement, there was hesitation.

The prevailing sentiments:

• Servicers are interested in AI but unsure where to begin.

• Many are concerned about compliance, borrower data and regulatory scrutiny.

• Adoption levels vary widely, from cautious paralysis to early experimentation.

A key takeaway on AI was, “AI governance and guardrails help you move faster.” That statement reframes the narrative. Governance is not friction. Governance is acceleration.

Several practical themes emerged:

• Be clear on the problem you are trying to solve before introducing AI  

• Understand how your data interacts before feeding it into AI engines  

• See what is working: Early use cases are emerging in call centers, data-to-document validation and internal workflow automation  

We are still, as one panelist put it, in the “dial-up Internet phase” of AI. The opportunity is significant but disciplined execution will separate strategic adopters from reactive implementers.

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3. Customer experience drives recapture and retention

Across sessions, from escrow to servicing transfers to delinquency management, one theme kept resurfacing: customer experience is a growth strategy.  

Speakers emphasized that transfers, escrow increases and delinquency outreach are defining moments and they must be handled intentionally. Servicing transfers continue to produce low NPS scores, and rising delinquencies and escrow volatility amplify borrower anxiety. Phrases like “warm hug” and “red carpet experience” were used by panelists to describe how transfers should feel from the borrower’s perspective.  

Personalization was another consistent thread:

• Tailor communication based on borrower profile and loan stage  

• Use digital integrations and APIs to create more seamless servicing experiences  

• Monitor borrower behavior signals to anticipate questions or product opportunities  

Operational excellence remains table stakes. Speed and accuracy still matter most. But the differentiator is how clearly, consistently and proactively that accuracy is communicated. Experience is no longer a soft metric, it is a portfolio performance strategy.

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4. Loss mitigation Is entering a new phase

As FHA and other programs begin rolling back COVID-era loss mitigation provisions, servicers expect to see changes in delinquency patterns.

Panel discussions highlighted the need for:

• Greater personalization in borrower outreach  

• Viewing distressed borrower conversations through a more human lens

• Balancing regulatory precision with empathetic service

The shift is subtle but important. Servicing is moving from pure operations management toward reputation management.

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5. Servicing models and margin pressure demand precision

Margin compression continues to define the servicing environment and prompts interest in subservicing models.

Some considerations:

• Understanding your all-in servicing cost  

• Aligning portfolio mix with servicing strategy  

• Leveraging sub-servicers’ technology investments, particularly through API integrations  

The conversation is shifting from “who services?” to “who services best — and most efficiently?”

Operational discipline, data accuracy and scalable technology are not abstract priorities. They are margin protectors.

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Final thoughts: The experience era of servicing

This year’s MBA Servicing reinforced a reality the industry can no longer ignore:

• Escrow volatility is reshaping borrower expectations.

• AI adoption requires governance-first thinking.

• Regulatory shifts are tightening the margin for error.

• Customer experience is directly tied to recapture and retention outcomes.

At Cotality, we believe the path forward requires a combination of operational precision, trusted data, thoughtful AI integration and a deliberate focus on borrower communication.

The environment may be complex. But with the right foundation, complexity becomes competitive advantage.

If you didn’t have the chance to connect with the Cotality team at the show, we’d welcome the conversation. Let’s discuss how these trends are impacting your portfolio and how data, technology and experience strategy can work together to support your servicing goals.