Lenders and title companies are increasingly partnering with technology companies to remotely prepare mortgage deals. (iStock)

The need to stay socially aloof amid the coronavirus pandemic has led to a surge in digital mortgage closings, allowing both lenders and potential home buyers to complete the real estate transaction from almost anywhere with an internet connection. In addition, more and more lenders are being certified for Remote Online Notarization (RON), allowing them to sign closing documents without having to physically attend a notary.

In fact, a new bill was recently tabled in Congress that would legalize RON in all 50 states. Diane Tomb, CEO of the American Land Title Association (ALTA), said that with the passage of the SECURE Notarization Act, "we can take a much-needed step into the future by modernizing the notarization process with a secure system that is proven to be fair to consumers." will". Needs and expectations. "

The Mortgage Industry Standards Maintenance Organization (MISMO) announced that it now has 14 technology platforms that have completed their RON certification. That's a reported 40% increase in three months and means these companies are now verified and ready to conduct fully digital deals.

Since the use of electronic signatures makes closing the deal easier, consider refinancing your home loan at a low interest rate to save money on the monthly payment. Visit Credible to compare your options and find a mortgage lender that best suits your needs. Once you go through the pre-approval process, just ask your lender about their eClosing skills.

ONLINE MORTGAGE CLOSURES CAN SOON BECOME LEGAL IN US: WHAT YOU SHOULD KNOW

How will the RON affect my mortgage refinancing?

MISMO's RON standards allow a buyer, seller, or homeowner to refinance documents in front of a webcam after asking questions about identity verification. In this way, notaries can collect signatures online without having to meet in person or go through piles of paper.

"According to ALTA's Digital Closing Survey, the COVID-19 pandemic was a driver of RON inquiries," said Tomb. "Of all RON deals, most were from the seller side of the transaction (40%), followed by cash deals (23%), refinances (17%) and purchases (14%).

MISMO's standards provide a common set of requirements that create best practices for remote notarization, including analyzing credentials and borrower identification, and capturing and storing a RON notarization record from the remote close. These standards are intended to help simplify electronic certification and at the same time protect against potential fraud.

"Increasingly, companies are eager to demonstrate that their technology solutions meet industry standards, and there is simply no better way to do this than becoming MISMO certified," said MISMO President Seth Appleton. "We commend DocuTech, OneNotary, Pro Notary and SimplySecureSign for adopting industry best practices and receiving this prestigious award. This certification is an important part of MISMO's efforts to bring digital solutions to the mortgage industry, including RON and." eClosing transactions, support, advance and increase. " . "

As more mortgage lenders and title companies partner with technology companies to produce full electronic financial statements for the real estate industry, refinancing is getting easier. Visit Credible to find a lender to help you refinance your mortgage and lower your monthly payments.

GETTING A MORTGAGE BECOMES EASIER THAN EVER

Why is Now a Good Time to Refinance Your Mortgage?

There are numerous reasons why now is a good time to refinance your mortgage and lower your monthly payments. Below are just a few:

eClosings are on the rise: With many apartment closings going digital, it's easier than ever to refinance your mortgage. In many cases, the entire refinancing process from application to closing can currently be completed without leaving your home. By 2020, about 80% of Title Agents were interested in or had already eClosed, and most had completed hybrid eClosing; according to a survey by ALTA, these numbers have only increased.

Mortgage rates near all-time low: Mortgage rates recently fell another 10 basis points to 2.78% for the 30-year fixed-rate mortgage, according to Freddie Mac's Primary Mortgage Market Survey. With interest rates this low, many homeowners could easily cut their monthly payments by hundreds of dollars by refinancing. Visit Credible to compare prices from multiple lenders at the same time.

THE BIDEN ADMINISTRATION HAS ONLY MADE IT CHEAP TO REFINE YOUR MORTGAGE

Elimination of the disadvantageous market refinancing fee: The Federal Housing Finance Agency (FHFA) announced it would remove the COVID-19 era refinancing fee from mortgages secured by Fannie Mae and Freddie Mac. This translates into additional $ 1,400 savings for homeowners who now don't have to pay the fee through their closing costs or monthly payments. While the fee is slated to end on August 1st, many lenders are already removing the fee from their borrowing costs.

In addition to these advantages, homeowners also benefit from rising home prices by being able to withdraw cash from the equity of their home in addition to refinancing. Refinancing becomes easier with a digital home lock. Visit Credible to compare your options and speak to a home loan expert to answer your questions.

Do you have a finance-related question but don't know who to contact? Email the Credible Money Expert at moneyexpert@credible.com and your question could be answered by Credible in our Money Expert column.

source https://seapointrealtors.com/2021/08/12/mortgage-eclosings-making-refinancing-easier-than-ever/

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