E-Mortgages On The Rise
In the last few months, mortgage lenders’ interest in electronic mortgages (“e-mortgage”), especially the ability to electronically sign via an e-signature process, has been rising significantly. Mortgage lenders are keenly aware that they must become leaner and more efficient in their processes. In fact, a recent blog by Mortgage Technology Magazine describes this rapid rise.
The current state of the mortgage industry has contributed to the uptick in interest. Paper has always been considered a limiting factor. Over time, the industry has moved towards paperless with imaged-based documents. The issue with paper to imaged documents is that the data was separate from the document. Validation required a person to “stare and compare” the image with the data in a data system, like a loan origination system. The promise of e-mortgage documents is to bring data and documents together making documents machine readable and enabling “lights out” processing.
Now, as has been promised for many years, the industry is beginning to implement e-mortgage initiatives. An e-mortgage is where loan documentation is created electronically, executed electronically, transferred electronically and stored electronically. At a minimum, an e-mortgage is an e-note that is created, signed and delivered to the secondary market electronically. However, an e-mortgage can also span into origination with e-signed disclosure documents
With today’s announcement of e-signature capabilities, Xerox Mortgage Services has entered the e-mortgage arena. This solution builds upon the award-winning BlitzDocs® solution for mortgage document collaboration and extends the BlitzDocs network of lending institutions and service providers. Even though we are rapidly moving to an “e” world, lenders are still dealing with paper, paper to images and existing electronic documents. Using our document expertise, Xerox is uniquely positioned to help support mortgage lenders with the dual processes they must support.
Interested in further commentary on industry trends and technology? Click here to listen to a podcast featuring my colleague Greg Smith, vice president, Xerox Mortgage Services.
Judson Phillips
Vice President, Marketing
Xerox Mortgage Services