Just about every service you can think of is going digital. Today’s consumers — millennials in particular — are accustomed to obtaining almost anything instantly through either a mobile device or computer. Mortgage providers are interested in maintaining a competitive edge in order to cater to that market.
According to HousingWire, it takes 51 days on average to close a traditional mortgage. Talk about a financial product that could benefit from some modernization!
With a digital mortgage, some borrowers could be approved within minutes — only needing to upload necessary documents to finish the process and never having set foot in a bank.
Quicken Loans was a digital mortgage pioneer first offering a product in 2015. The lending giants have jumped on the bandwagon, most recently with Wells Fargo announcing during a second quarter earnings call plans for a digital mortgage platform in 2018.
- Some benefits of digital mortgages:
- More secure
- Reduces errors
- More organized
- Financial information can be linked and automatically uploaded
Digitizing the mortgage process is a welcomed step for consumers and lenders, increasing competition while saving both time and money.