No one wants a mortgage.
Seriously. Whether you own a home today, or aspire to in the future, you’ve probably never thought, I wish I had a 30-year obligation to pay an enormous sum of money. Instead, you were probably longing for a charming wraparound porch, an expansive yard for Fido, or the perfect patio for barbeques.
People want to be homeowners; mortgages just happen to be the path to get there. And it’s no secret – that path has a reputation for being rocky and difficult to navigate. Between the endless documents to supply and sign, the hordes of tree casualties in exchange for stacks of legal-sized documents, and the nail-biting anticipation of making it to closing day, every homeowner is relieved when it’s over.
A mortgage is a tremendous commitment, and naturally, the process to secure one is extensive and complex. But in an era when most of us have a smartphone in our pocket – giving us the power to do things like Google any answer in seconds, or manage our stock portfolios in an app – we should be able to do more to digitize the journey to homeownership. Fortunately, we can, and a growing number of industry professionals agree and are on a mission to get us there.
“Digital mortgage” is increasingly common vernacular in the industry. It essentially refers to the concept of using technology to streamline and simplify mortgage transactions to achieve favorable outcomes, such as better customer experiences, more extensive self-service functionality, and less paper to file and track, and automated regulatory support.
At Black Knight, we like to think of “digital” as an ecosystem of solutions that come together to collectively facilitate seamless transactions for the benefit of all parties. In practice, this means that a digital solution mutually benefits a consumer and a mortgage professional – even other third parties in the process. Consider a consumer benefitting from an intuitive, e-signing capability that can be done via a mobile device from any geographic location; and simultaneously, a lender benefitting from a quicker, more efficient way to capture complete application documents – not to mention the greater potential for retention and recapture that comes with positive customer experiences.
Since the start of the COVID-19 pandemic, the industry has had a front-row seat to observe the benefits of – and overdue need for – digital solutions. It’s no secret that the mortgage industry has been slower to evolve than other industries, but when push came to shove, we, too, embraced the digital evolution. America’s homebuyers have told us that they’re ready, too. We owe it to them to keep the momentum moving forward, transforming “mortgages” into “digital homeowner experiences.”
Hear more about the industry’s shift to digital in Shelley Leonard’s appearance on The Shred Show.