Digital closing technology is a tremendously powerful tool for lenders. With strong adoption, firms can close up to 40% more loans while decreasing errors that appear at the closing table by 80% as proven by Snapdocs customers. However, not all eClosing technology can deliver these results.
To see this level of operational efficiency, there are multiple factors at play. One of which is finding a digital closing solution that can support all types of closings – wet closings, hybrid closings, and hybrid closings with eNote, and full eClosings. Here’s why.
One efficient process for every closing, with every settlement partner
Selecting digital closing technology that supports all closing types enables one standardized process for all transactions. No matter how the loan is closed or the settlement partner, this single workflow enables loans to close quickly and accurately regardless of consumer preference, closing method, settlement partner, loan type, or region.
Lenders like Allied Mortgage Group and Evergreen Home Loans have recognized how important it is to have a digital closing solution that enables them to manage any type of closing and work with any settlement agent.
“We want one flow, one process. Everybody’s always working in the same environment, whether it’s a hybrid or a full wet sign closing package,”
– Tamra Rieger, COO at Evergreen Home Loans.
If an eClosing platform only handles hybrid closings and eClosings, lenders are stuck having to juggle one process for hybrids and eClosings, and another process for wet closings. This wastes time and energy on the company’s dime. Multiple closing processes add steps to lender workflows, and this added complexity makes it even more difficult for everyone in the closing process to execute efficiently.
Todd Burton, Director of Process Development at Allied Mortgage Group, perfectly described some of the problems with multiple closing processes saying, "If you have two separate processes, you can be working with a title company. If you’re sending over two loans to them — maybe in the same day — and one’s a wet closing and one is a hybrid closing, and if you have two different processes, how can it not create some confusion for them? Again, going back to the idea of how am I handling this one. Am I printing out the packets on this one? Am I logging into a different portal on this one? So, multiple processes really create many opportunities for issues, failures, and mistakes.".
Having one efficient closing process saves time and these time savings add up, allowing lenders to close more loans at a lower cost.
Transform 100% of loans
Your eClosing provider should be able to handle 100% of your loan volume. If the vendor places restrictions on closing type, loan type, or edge cases like POA and Trust, Loan Officer (LO) eSign, or redraws, ask them to explain why. This could lead to managing multiple closing processes again.
By processing all loans through a digital closing solution, borrowers can electronically review their documents days before their closing appointment, regardless of the type of closing. For every closing, the closing package is automatically transferred back into the LOS once the signing is completed. These are just two benefits, and when applied to all closings, can lead to faster closings and happier customers.
Drive ROI at scale
Now with the right technology in place, rollout to all branches and settlement partners can occur in just a few months or even less. In fact, The Mortgage Firm digitized 100% of their closings in just one month. With the efficiency gains The Mortgage Firm experienced from doing digital closings at full volume, the business was able to close 13.3% more loans with their existing staff.
To learn more about how critical it is to have a digital closing solution that handles all closings, hear from Allied Mortgage Group in this on-demand webinar. Burton shares how having multiple closing processes created disruptions and headaches for Allied Mortgage Group in 2017, and he discusses the benefits of having one process for all closings.
Ready to close more loans by leveraging one standardized process for wet, hybrid, and eClosings? Contact us to learn how to accomplish this in as little as a few weeks.