DocMagic’s continuous advancement in print fulfillment services represents a significant development for our valued customers. Recently, we introduced Saturday printing and mailing services at no additional cost, offering a notable advantage to customers with paper disclosure requirements. This feature empowers our clients to expedite the loan process and cater to borrowers whose disclosures expire on a Saturday.

So, why do print fulfillment services remain an essential part of what DocMagic does to digitize the mortgage process? First, we’ll discuss why these services add necessary protections to loan workflows—for both lenders and borrowers.

Why Print Fulfillment Services Are So Essential for Lenders (Even In A Digital Workflow)

When borrowers don’t sign the electronic versions of disclosures in time—or when, for a variety of reasons, they don’t consent to eSign itself within required timeframes—lenders are at risk of compliance violations.

To help keep lenders compliant, print fulfillment services may include any of the following tasks:

1. Preparing, mailing, and delivering paper copies of initial disclosures to borrowers in accordance with compliance standards.
2. Reporting document delivery to provide lenders with peace of mind regarding meeting deadlines.
3. Automating document delivery and minimizing human intervention to ensure borrower privacy.

Printing loan documents quickly is important because it helps to expedite the overall loan process, meet the needs of lenders and borrowers, and most importantly, shield the lender from any compliance issues related to late delivery of certain documents.

By offering continually faster print fulfillment services, we’re helping to provide customers with greater flexibility and immediacy in the processing of their borrowers’ loan documents.

DocMagic’s Innovative Print Fulfillment Services

To support our commitment to fast and compliant print fulfillment, we now allow customers to print and mail packages on Saturdays.

We’ve enabled this feature so that eSign packages scheduled to expire on Saturday will now be printed and mailed on Saturday, rather than printed and mailed on Friday, allowing borrowers who need a bit more time to eSign their loan documents to do so. This feature works in tandem with our customers’ existing workflow customizations: for example, if a lender is closed on Saturday or has specific rules for fulfillment within their account, the new Saturday fulfillment feature will not override any of those customizations. In addition, documents will still be printed and mailed on Friday if an observed holiday falls directly on Saturday.

The flexibility and immediacy of these print and mail services are made possible by DocMagic’s state-of-the-art Print Fulfillment Center and integrated into our completely automated print fulfillment process. By making it possible for specific document packages to print on Saturdays, we’ve given customers the option to accelerate the loan process even further and to accommodate borrowers who need immediate delivery of their loan documents.

All these print advancements are automatically available to DocMagic customers, at no additional cost, without any need for user action.

And for an additional cost, our customers can even order rush same-day print and mail services Monday through Saturday.

By leveraging the latest technology and automating the print fulfillment process, DocMagic has demonstrated its commitment to providing innovative solutions that meet the evolving needs of its customers. In offering innovative solutions like Saturday and rush print fulfillment services, DocMagic is helping its customers to meet these goals and stay ahead of the competition.

For any inquiries or comments regarding Saturday print fulfillment, customers can contact techsupport@docmagic.com.

Related Content:

•  MPA honors Leah Sommerville of DocMagic with 2023 Elite Women Award (7/20/2023)
• DocMagic and Finastra announce integration to transform closings (6/30/2023)

• MISMO seeks comments on VA form & David Garrett speaks on MISMO (6/22/2023)

We're proud to announce that Leah Sommerville, a senior account executive and key member of our eClosing Team, earned a spot on this year’s prestigious Elite Women in Mortgage list published by Mortgage Professional America (MPA).

About The Elite Women Award

The annually-produced award highlights 50 female leaders who are making a difference and driving positive change within the mortgage industry. MPA says the winners represent a league of influential women who go above and beyond for their companies and the industry, exhibit a genuine passion for their craft, have significant accomplishments from the last 12 months, and possess unwavering determination.

“Leah’s expertise in eClosings is instrumental in guaranteeing the success of every client who chooses to embrace a paperless closing process,” stated Dominic Iannitti, president and CEO of DocMagic. “We commend Leah for her continuous dedication and are thrilled that MPA has honored her outstanding achievements with the prestigious Elite Women distinction.”

Leah Sommerville's eClosing And Mortgage Expertise

As a valued member of DocMagic's team of eClosing specialists, Sommerville is committed to assisting lenders in tailoring an optimal digital mortgage strategy to their unique business needs. Since joining the team in 2018, she has guided numerous lender clients through the transformation from paper processes to the cutting-edge realm of digital mortgages, creating a wave of efficiency and innovation.

“I’m honored to accept the 2023 Elite Women award from MPA and I thank the judges for recognizing my efforts,” stated Sommerville. “The industry has come a long way since introducing eClosings and I look forward to introducing some of the new digital mortgage innovations that DocMagic is developing.”

Notable achievements Sommerville has been a part of in the last 12 months include her involvement in the rollout of DocMagic's new eNotary onboarding program for a national database of notaries, enabling those notaries to attain RON certification on DocMagic’s Total eClose™ platform. Her efforts have helped train hundreds of notaries on how to effectively complete remote online notarization of loan documents with borrowers.

Sommerville also shepherded numerous lenders and secondary market participants through the MERS eRegistry membership process to start producing eNotes and subsequently store them in a secure eVault—guidance that enhances lender ROI, improves liquidity, and moves the industry toward going fully paperless.

In addition, Sommerville helped introduce DocMagic’s e-Eligibility tool, eDecision,™ that audits loans and confirms the type of eClosing that can be compliantly executed. Also notable is that Sommerville closed out 2022 exceeding her sales goal by 65 percent, which she accomplished in a down market despite a steep drop in loan volume.

Currently, Sommerville continues to press on, providing a consultative, hands-on approach to lenders for eClosings, working with industry eClosing partners, and speaking at conferences and events on the topic of digital mortgage automation.

The complete list of 2023 Elite Women winners can be found on MPA’s website.

Related Content:

• DocMagic and Finastra announce integration to transform closings (6/30/2023)
• MISMO seeks comments on VA form & David Garrett speaks on MISMO (6/22/2023)

• CEO Dominic Iannitti’s Best of Finance win spotlights the best mortgage and finance solutions (6/08/23)

As the leader in fully-compliant loan document generation and comprehensive eMortgage services, today, we’re proud to announce the integration of our leading-edge Total eClose™ platform with Finastra's MortgagebotLOS solution, enabling an enhanced customer experience for mortgage borrowers.

Dominic Iannitti, president and CEO of DocMagic, said, "We've demonstrated the power of Total eClose through our integration with Finastra's MortgagebotLOS, creating an innovative automation tool for every eClosing originated through the solution. This collaboration not only saves time and effort, but also amplifies secondary market potential, eliminates laborious manual tasks, slashes cost per loan, and streamlines the closing process."

About Mortgagebot And Total eClose Together

Through this integration, Finastra MortgagebotLOS lenders gain access to DocMagic's comprehensive suite of eClosing tools for all loans. Powered by a robust, bi-directional document flow, the tracking in MortgagebotLOS can connect instantly to DocMagic’s Total eClose.

This seamless integration combines comprehensive eClosing technology with data-driven origination workflow automation that generates compliant loan documents, facilitates borrower eSignatures, and enables remote online notarizations (RON). Additionally, Total eClose empowers Finastra users to effortlessly generate eNotes, establish direct connections with the MERS eRegistry, and securely store documents in a certified eVault.

Why integrate mortgage LOS systems with eClosing systems?

"The integration of Total eClose into MortgagebotLOS offers new tools to enhance the customer experience," said MaryKay Theriault, director of product management at Finastra. "We're thrilled to offer our clients the efficiencies and conveniences that this partnership brings. Together, we're setting new industry standards and making the mortgage closing process easier and more streamlined for borrowers across the United States."

Finastra’s MortgagebotLOS is a feature-rich, end-to-end, web-based mortgage lending platform that supports retail, wholesale, and correspondent business channels. Widely recognized for streamlining the origination process and reducing operating costs, MortgagebotLOS is trusted by over 1,400 clients nationwide to accelerate mortgage lending.

In addition, DocMagic's highly acclaimed Total eClose solution has evolved the mortgage closing process by providing a secure, streamlined, and fully paperless digital environment delivered as an all-in-one application. The system automates essential tasks, from document generation to eClosing and eNotarization, ensuring a superior user experience for borrowers and other participants.

For DocMagic and Finastra customers, these two revolutionary products are now stronger together. This integration is just one step toward our mission to revolutionize the mortgage industry through powerful digital products.

Related Content:

• MISMO seeks comments on VA form & David Garrett speaks on MISMO (6/22/2023)
• CEO Dominic Iannitti’s Best of Finance win spotlights the best mortgage and finance solutions (6/08/23)

• The competitive advantage of eNote technology (5/25/2023)

The Mortgage Industry Standards Maintenance Organization (MISMO)—the forerunning body deciding on operational standards for the real estate industry—is in the midst of a public comment stage for a new standard to be released involving a U.S. Department of Veterans Affairs (VA) loan form. This stage is an essential part of MISMO’s goal to increase consensus within the mortgage industry.

Although following MISMO standards is voluntary, it has the potential to help lenders cut processing costs, increase transparency and pass savings to their borrowers. 

We’re familiar with MISMO’s deep involvement in the mortgage industry because of our working relationship with MISMO’s groups dedicated to standard development, also called “communities of practice” (CoP). In fact, DocMagic’s own Integration Services Manager, David Garrett, is currently a vice chair of the MISMO Origination CoP and regularly meets with other mortgage experts to develop clear standards for mortgage origination.

Overall, MISMO standards are essential to a functioning real estate economy, and their current call for public comment is a testament to the organization’s dedication to efficiency in homebuying.

How MISMO Mortgage Standards Are Developed And Used

To offer some background on MISMO standards and why they’re created, we spoke to David about the importance of these efforts and his role in a MISMO CoP.

1. What are MISMO mortgage standards?

First, a definition: MISMO mortgage standards are specifications that can be followed voluntarily by technology providers, lenders, and other mortgage organizations as they build technology and create their own data-sharing policies.

These specifications are essential for transferring accurate mortgage-related data between various trading partners, such as lenders, GSEs, document providers and servicers.

2. Why are MISMO standards created?

MISMO mortgage standards are created so that different vendors’ platforms work together and speak the same operational language. MISMO’s ultimate goal is interoperability: cohesion within the mortgage space; cohesion while transferring data between borrowers, lenders and GSEs; and cohesion between the vendors that support the industry.

David describes perfect MISMO standard adherence as a point at which everyone shares the same basic structures and data naming conventions. If one lender sends a "loan amount," another sends a "base loan amount," and yet another sends an "original loan amount," but they're really all the same thing, it would be less confusing for all parties to agree on calling the same data point a “loan amount.”

3. What are CoPs, and what do they do?

MISMO CoPs and committee members play a significant role in shaping new standards and offering recommended approaches for important initiatives. These initiatives could include origination technologies, remote online notarizations, digital mortgages, closing instructions, blockchain technology, and various other areas.

For example: the Origination CoP, of which David is a member, focuses specifically on the entire origination process and the main subcategories within it of underwriting, application, and closing.

4. How are standards used?

Adherence to these standards is, for the most part, voluntary. But lenders can take note of which vendors and partners are MISMO-compliant to ensure that the data from (or inside) one platform will always work with another (DocMagic’s Total eClose platform, for example, generates a MISMO Category 1 SMART Doc eNote that is 100% MISMO-compliant).

Most importantly, this type of standard is essential for technology vendors, lenders and mortgage professionals to follow so they can provide the most accurate and efficient homebuying process to borrowers across the nation.

The Ongoing MISMO Request For Public Comment

The current public comment phase is a perfect time to see MISMO standardization in action. As of today, MISMO is in the midst of a call for public comment on a new dataset created for the information that goes in the VA Verification of Benefits form (Form 26-8937).

MISMO members worked with the VA to develop this valuable standard for relaying the information on this form so that borrowers involved with the VA can enjoy a convenient homebuying process.

Organizations that could have intellectual property tied to this form or this dataset are encouraged to contact MISMO. Interested parties have a 30-day period, ending on July 6, 2023, to provide comments and disclose any relevant patent rights using info@mismo.org.

About MISMO As An Organization

Many regulators, housing agencies and GSEs require organizations to abide by MISMO standards. This creates standardization and efficiency throughout the national mortgage industry.

MISMO fosters extensive collaboration within the industry to establish standards that effectively address the most challenging business problems in housing finance, leading to cost reductions, enhanced transparency and improved overall efficiency.

And best of all, MISMO welcomes all participants to become members, including lenders, banks, credit unions, servicers, third-party vendors, software companies and individuals. In the end, MISMO takes an open approach to sharing knowledge and standards so that the mortgage industry as a whole can benefit and grow.

Related Content:

• CEO Dominic Iannitti’s Best of Finance win spotlights the best mortgage and finance solutions (6/08/23)
• The competitive advantage of eNote technology (5/25/2023)
• Ask the eClosing Team: How do I get started with eClosing? (5/11/2023)

Dominic Iannitti, DocMagic’s president and CEO, was selected for the inaugural group of Best of Finance award winners from Inman News, confirming the wide-reaching effects of our eClosing solutions. Inman News—a leading news source for real estate agents, brokers, executives and technology leaders—established the awards category to honor experts in the mortgage and finance space who innovate within residential real estate.

“I am thrilled and honored to be acknowledged as a mortgage finance leader by Inman News,” said Iannitti. “This award underscores our steadfast dedication to service, innovation, and above all, our customers.” And in a digital age where DocMagic’s powerful solutions are driving the adoption of fully paperless eClosings, that dedication to service is key to success.

About The Best Of Finance Award

Inman’s first selected group of Best of Finance award winners, available in full on Inman’s website, is a roster of mortgage and finance experts leading the way in better mortgage and finance services for all. Award recipients were hand selected by Inman’s editorial team—a team experienced in furthering Inman’s mission of sharing innovative and pertinent news about the real estate industry.

Inman shared that the 2023 Best of Finance award recipients were recognized for their commitment to “innovation, service and their immeasurable impact on the residential lending industry.” The CEO of Inman, Emily Paquette, said, “For the first time in Inman history, we are shining a spotlight on the companies and individuals helping to raise the bar for mortgage and financial services. Their dedication to the communities they serve is driving change across our industry.”

The complete list of award winners totaled only 128 recipients out of a large industry that amassed over $2.34 trillion in mortgage originations in 2022 (and that is expected to rebound in 2024). Although 2023 has seen industry revenue decline, flexibility is essential to achieve the rebound that government-sponsored enterprises (GSEs) predict in 2024.

What can lenders learn from following mortgage and finance awards?

Awards like this one highlight industry leaders with proven track records of innovating and evolving. Alongside Iannitti, the Best of Finance winners include leaders in:

• Lending, including correspondent lending
• Borrower payment facilitation
• Insurance
• Government-sponsored securitization
• eClosing, including DocMagic and our comprehensive eClosing platform
• Lender and broker workflow automation
• Other digital solutions

Award lists from trusted industry outlets can offer lenders a valuable chance to survey the industry and get a feel for what other lenders may be doing to stay flexible. The value for lenders in looking at award lists (and associated organizations) is twofold:

1. Lenders can keep an eye on the competition.

Look at award winners and identify any direct or indirect competitors among the lenders represented. Watch what these lenders are doing—how have they pivoted or expanded in the past year, and what can you and others learn from their strategies?

2. Lenders can identify new solutions for their own business.

If vendors are featured among award winners as with the Best of Finance award, you can take a look at award-winning vendor offerings and helpful solutions just by browsing award lists. Investigate digital solutions further to explore unique ways that your business can be flexible and save money.

Interested in paperless eClosing? Learn more about our Total eClose™ platform and how it can lead you and your borrowers through an eClosing step by step.

Whether you find it easy or difficult for your mortgage organization to implement new solutions, it’s crucial to watch industry news for where solutions are headed. The mortgage and finance space is evolving quickly. To keep pace, consider taking a second look at the leaders receiving accolades for their work in mortgage innovation.

Related Content:

• The competitive advantage of eNote technology (5/25/2023)
• Ask the eClosing Team: How do I get started with eClosing? (5/11/2023)

• DocMagic introduces critical ADA-compliant loan documents (4/25/2023)
  
  

Dominic Iannitti, President and CEO of DocMagic, answers questions about eNote adoption — as well as how far the industry, DocMagic and its clients have come using the DocMagic platform. This Q&A was originally featured in HousingWire.

Where does the industry stand in terms of digital adoption, and more specifically the adoption of eNotes? 

Many lenders were considering, or at least researching, digital implementations when the pandemic hit, putting industry adoption on the fast track.

These days lenders are seeking to leverage mortgage technology to streamline the loan process. Many have digital capabilities in place already and with so many warehouse lenders ready to fund eNotes and servicers ready to support them, along with increased expansion in the investor space, the popularity of eNotes is growing.

Talk to us about DocMagic’s setup process for lenders to get started with Total eClose, eNotes and a secure eVault.

We’ve partnered with many lenders who started with a hybrid model and then made the transition to utilize eNotes and, in many cases to completely paperless closings.

eNotes are a game-changer for risk reduction, processing speed and overall efficiency. By leveraging both eNotes and DocMagic’s award-winning eVault technology, lenders can quickly begin to experience an array of eClosing benefits. Our eVault technology has been the industry leader for many years, giving us the expertise to implement and support the critical aspects of eNotes.

DocMagic’s eClosing Team has personally supervised thousands of eClosings. Whether it’s getting set up with MERS®, implementing an eVault to securely store notes, partnering with eNote-ready investors and e-warehouse lenders or servicing eNotes, we wrote the playbook on how to make it happen for lenders and their supply chain partners.

What are some of the efficiencies of eNotes, and how will lenders that implement eNotes now benefit compared to those that wait?

The expediency of eNotes carries through the entire process, from originator, to warehouse, investor, custodian, and servicer in a matter of seconds. Your workforce is more productive, moving loans forward through the pipeline at the speed of a click.

Errors in quality are costly, but especially in this environment. Having everything signed electronically and dated correctly is critical. The eNote can be registered immediately with MERS®, allowing loans to be delivered within minutes of closing — that’s real efficiency.

Organizations that implement eNote technology will gain a competitive advantage over those that wait. The efficiencies, benefits and ROI of eNotes are not a nice to have, but a must. This is positively where the industry is heading.

What should lenders be looking for in a long-term eClosing vendor/partner?

Lenders should start by choosing a vendor with the experience of thousands of successful eClosing transactions. An inexperienced vendor may not have all of the necessary components in place to do business with other providers in the space.

Lenders should also select a vendor offering all hybrid and fully end-to-end paperless eClosings. The best option is a one-stop shop that provides every element of an eClosing. Why go to one vendor for document generation and another for eNotes?

Finally, look for a vendor that can scale to your future growth. DocMagic offers a fully cloud-based service layer and flexible technology designed with capabilities adaptable to every conceivable eClosing option.

Read the original Q&A on HousingWire here.

If you’re interested in exploring eNote adoption for your organization, click here to set up a demo with us. We’re happy to answer all your questions and give you a personal look at how our platform saves time and money.

Related Content:

• Ask the eClosing Team: How do I get started with eClosing? (5/11/2023)

• DocMagic introduces critical ADA-compliant loan documents (4/25/2023)
• Ask the eClosing Team: What are current trends in eClosing adoption? (4/11/2023)

Welcome to Ask the eClosing Team, an ongoing series where DocMagic’s eClosing pros tackle real questions that we’re hearing from lenders. These responses are from the second half of a recent interview with eClosing Team member Leah Sommerville.

Recently, we reported that Leah Sommerville, DocMagic’s Sr. eServices Account Exec, sat down with American Business Media at the 2023 New England Mortgage Expo. You can still watch the full interview here.

Get Started With eClosing

Leah shared some crucial tips about how to get started with eClosing, for those lenders who are ready to adopt digital mortgage strategies but need additional guidance. Read more below.

What do lenders and Originators need to know to get started with eClosing?

eClosing isn’t one size fits all, it’s also not an “all or nothing” effort. With DocMagic, you have the flexibility to decide which version of eClosing will be provided on every loan. Lenders often choose to implement eClosing in phases. We can help you to go live with eClosings that include eSignatures and eNotarization within a couple of days.

When you’ve made the decision and are ready to implement eNotes (expediting funding by an average of 70%), we will help you set up our certified eVault and guide you through the MERS® eRegistry process (as required for eNotes). But our job doesn’t stop there—DocMagic’s dedicated team of eClose experts help to tailor your workflows specifically for successful adoption, agility, efficiency, cost savings and, ultimately, to close loans faster, offering an intuitive and modern experience for everyone involved.

Are all loans good candidates for eClosing?

It’s important to select the best version of eClosing for every loan and borrower. We’re making it as easy as possible by giving users a clear-cut and accurate determination of how “e” they can be on a specific loan. This e-Eligibility audit, provided by DocMagic’s eDecision™ tool, confirms if the loan can include an eNotarization (based on legislation in the property’s state and eRecording availability in the property’s recording jurisdiction) and an eNote.

Then our end-to-end eClose platform allows you to streamline entire closing workflows for completely digital eMortgages (eSign, eNote, eNotary), while also providing the flexibility to select on-demand digital solutions as required for Hybrid eClosings, which involve various combinations of eSigned and wet-signed closing documents.

In the interview, Leah was also asked what she sees as the next step in automating the process for originators. She says that currently, more lenders likely embrace hybrid eClosings, where they paper out the note or the mortgage along with any other documents that require notarization. So what’s next? 100% electronic eClosing, she replied.

Once lenders understand what’s possible, they will begin to transition more and more of their closings to a digital format. After all, Leah noted, eSigning is legal in all U.S. states and eNotarization is legal in most states. The vast majority of lenders—and the vast majority of borrowers—have nothing standing between them and fully digital eClosings.

Leah also mentioned that loan officers (LOs) have something to look forward to once their lenders transition fully. They’re still going to be processing loans, but the borrower gets to review documents right away and contact the LO with any questions. This is a key element of eClosings: the personal touch. LOs still get to develop a relationship with their borrowers, which is something that skeptical LOs had been worried about losing in the past.

As Leah’s expertise proves, when a lender chooses the type of eClosing that’s right for them, eClosings are not only faster and cheaper—they’re also more convenient for the buyer and can offer a better relationship-building experience for LOs.

To talk to Leah or any of our other experts about eClosing adoption, send them an email at eClosingTeam@docmagic.com.

Related Content:

• DocMagic introduces critical ADA-compliant loan documents (4/25/2023)
• Ask the eClosing Team: What are current trends in eClosing adoption? (4/11/2023)
• A key to eClosing: the developing case of the SECURE Act (3/23/2023)

DocMagic, Inc., the premier provider of fully-compliant loan document generation, regulatory compliance, and comprehensive eMortgage services, announced the addition of ADA-compliant mortgage loan documents to its extensive document library. The new digital documents are accessible to visually impaired users and others with disabilities, unlocking opportunities for these consumers into the broader mortgage market.

Designed For Accessibility

“Much of modern lending technology is designed to give consumers the convenience to access loan documents in the ways that work best for them,” said Dominic Iannitti, president and CEO of DocMagic. “It is imperative that our industry remain inclusive of all borrowers, and that we design solutions that are accessible to all. By creating ADA-compliant documents, we can continue to ensure that more borrowers are able to easily access, and participate in, the loan process.”

DocMagic’s ADA-compliant loan documents are dynamic, data-driven and designed to automatically identify and index critical document components during the document generation process. ADA metadata tags are applied to each of these components within the documents. These metadata tags function like HTML code, logically displaying a document’s organizational structure and content hierarchy. The metadata tags include content-level details as well as descriptive text for images, logos, etc. along with specific semantic instructions designed to make all text understandable via an advanced Text-To-Speech (TTS) engine that accurately translates on-screen information into clear speech through earphones or speakers.

Implementation For ADA-Compliant Digital Mortgages

The new ADA-compliant documents have been implemented at scale by some of the nation’s largest financial institutions, enabling them to serve more clients and lead the way in providing a heightened level of customer support and an exceptional user experience. Lending entities of all types and sizes trust DocMagic's document generation and eMortgage services to streamline the mortgage lending process, resulting in significant business benefits and a measurable ROI.

To comply with the Americans with Disabilities Act (ADA), digital content must be free of barriers that may prevent those with disabilities from accessing information. Mortgage lenders that implement ADA-compliant documents promote equality and accessibility for disabled borrowers nationwide. Additionally, they help lenders mitigate legal complaints and resulting fines based on ADA standards. Ultimately, DocMagic’s ADA compliance project is a crucial step in the mortgage industry that creates a more inclusive and accessible world for those living with disabilities.

For more information about the new ADA-compliant document library, contact DocMagic’s digital mortgage experts.

Related Content:

• Ask the eClosing Team: What are current trends in eClosing adoption? (4/11/2023)

• A key to eClosing: the developing case of the SECURE Act (3/23/2023)
• HousingWire recognizes DocMagic with 2023 TECH100 award (3/8/2023)

Welcome to Ask the eClosing Team, an ongoing series where DocMagic’s eClosing pros tackle real questions that we’re hearing from lenders. Today’s responses are drawn from a recent interview with eClosing Team member Leah Sommerville. We’ll be sharing some more exciting insights from Leah in an additional article next month.

Leah Sommerville, DocMagic’s Sr. eServices Account Exec and an expert from our eClosing team, sat down with American Business Media, publishers of National Mortgage Professional, at the 2023 New England Mortgage Expo to talk about the current state of digital lending. Watch the full interview here.

The Journey To Widespread eClosing Adoption

Below are some additional responses Leah provided on the topic:

Are we still seeing eClosing adoption?

The National Association of Realtors confirmed that 97% of buyers shop for their homes online and more than half of buyers ultimately purchase their homes online. Lenders are embracing eClosing to meet borrowers’ expectations of a digital closing experience. They are realizing that it doesn’t make sense to employ a paper process during the last touch point they have with borrowers… the closing table.

What are the specific benefits driving eClosing implementation?

Borrower expectations, eNote acceptance, and the evolution of eNotary legislation have persuaded many lenders to embrace eClosings. Loan originators appreciate eClosing’s opportunity to allow all participants to review the entire closing package (as often and as long as they’d like) in advance of closing day, provide the borrower a 15-minute closing experience, streamline the closing for all stakeholders (including the Settlement Agent’s automated invitation with access to their eClose console, which includes the entire closing package and opportunity to add title docs for eSignature), eliminate shipping/printing costs, and offer immediate access to all documents post-closing to expedite funding.

Are eClosings a fad?

Absolutely not. Is shopping for homes online a fad? Nope again. 87% of lenders agree that eClosing is faster as well as cheaper than traditional closings.

Almost all lenders are offering Hybrid 1 (eSigning, paper note, paper notary) eClosings at a minimum because there is no impediment to adoption. Hybrid 1 eClosings are very similar to eSigning the initial disclosure documents, which most lenders have already implemented. Hybrid 1 eClosing is possible in every state and for every loan type, and is supported by all secondary market participants. We’ve also seen increased volume for eClosings, which include eNotes, as the GSEs, Ginnie Mae, and the Federal Home Loan Banks began funding eNotes in the last several years. Last, but certainly not least, COVID and the constraints on personal interaction affected almost all real estate closings in the past several years—drastically evolving eNotary legislation. In fact, there are now only 2 states that don’t allow for eNotarization.

As long as consumers expect digital experiences and lenders continue to save $444 per loan with RON (Remote Online Notarization) and eNotes, eClosing is here to stay.

As Leah mentioned in the interview, demand has pushed the industry to a place where lenders who want to future-proof their business should provide a digital closing experience. Borrowers accomplish so much online—even borrowers who aren’t traditionally viewed as part of a tech-savvy demographic.

Digital closings are faster, cheaper and more convenient. They are, unequivocally, the future.

To talk to Leah or any of our other experts about eClosing adoption, send them an email at eClosingTeam@docmagic.com.

Related Content:

• A key to eClosing: the developing case of the SECURE Act (3/23/2023)

• HousingWire recognizes DocMagic with 2023 TECH100 award (3/8/2023)
• House overwhelmingly passes federal RON bill (3/1/2023)