Who’s Liable When AI Gets Mortgage Underwriting Wrong? with Arthur Prieston and David Kittle

The mortgage industry is rapidly embracing AI-powered underwriting, automated income analysis, appraisal reviews, and fraud detection tools—but with that innovation comes a critical question: who’s responsible when the technology gets it wrong? In this episode, David Lykken sits down with industry veterans David Kittle and Arthur Prieston to unpack the growing wave of repurchase demands tied to vendor-driven AI decisions and third-party data integrity issues. The conversation explores how liability is shifting from traditional underwriting errors to technology and vendor oversight, why lenders must rethink how they evaluate AI partners, and how repurchase insurance and vendor certification are becoming essential safeguards in today’s evolving risk environment. If your organization is implementing AI anywhere in the loan manufacturing process, this discussion offers timely insight into the legal, operational, and financial implications every mortgage lender should understand.