increasingly essential to our daily lives,
more and more people have become
comfortable with — and even prefer —
conducting financial transactions online.
Millennials are starting to buy more
homes, and they demand a digital
and mobile experience, which is quite
different from previous generations.
Because the eMortgage is a relatively
new concept for the industry, however, and likely an even newer concept
for consumers, information around
the benefits to both mortgage originators and borrowers still needs to be
Lenders are under increasing pressure to compress the loan cycle, sell
loans and reduce warehouse spreads
amidst ever-present concerns around
protecting the safety and soundness
of data. Many of these concerns can be
alleviated by recognizing that eClosing
technology serves to reduce loan-cycle
times and costs, and is actually safer
for lenders and mortgage professionals
than paper transactions because the
digital-loan process offers more robust
methods of authentication.
Borrowers also have lingering misconceptions around the mortgage process. The Consumer Financial Protection
Bureau recently asked borrowers what
they felt were the biggest issues
associated with closing a home loan.
The most common complaints the
bureau received related to having too
much paperwork to review, not knowing who to talk to when they had
questions and coping with the overwhelming nature of the process.
Mortgage professionals can address
these concerns through education and
by raising awareness around how
technology can alleviate these issues.
They should provide borrowers with
the information they need to feel more
empowered in the closing process.
n n n
The mortgage industry has made tremendous progress toward making full
eMortgages the transactional standard.
There are a few challenges to over-
come, but given the evolving and
integrated technology offerings and
common industry focus, eClosings
are well on their way to becoming the
future norm. n
integration with their loan origina-
tion systems — including SMART Doc
eNotes — and deliver those documents
electronically to a lender and settle-
They also should be able to support
electronic signatures from the borrower
and electronic notarizations from clos-
ing agents as well as register eNotes
electronically through the MERS eRegis-
try. In addition, mortgage professionals
should be able to electronically record
loans with county recorders and store
documents within a secure eVault, all
without leaving the platform.
As eClosings become more preva-
lent, this technology will only continue
to become more powerful and advan-
ced. Technology vendors will continue
to update and optimize their solu-
tions as eMortgage further evolves,
As we witness the evolution of technology, we also see perceptions of
the digital mortgage process evolve
as well. With technology becoming
<< eMortgage continued from Page 130 “As we witness the evolution of technology,
we also see perceptions of the digital
mortgage process evolve as well.”