The Benefits of an Electronic Mortgage System

Hello Everybody:

Depending upon who you talk to, I have heard that the cost of maintaining and storing a single piece of paper ranges from ten cents to thirty cents. Because of New England Title’s commitment to improve the real estate closing process, we have been advocating to mortgage lenders and realtors to adopt this electronic signature process and eliminate the traditional wet sign document. Storing of the physical paper will then be eliminated and drastically reduced.

For purposes of today’s discussion, I wanted to focus exclusively on the cost savings by switching to paperless work-flow and using electronic signature to sign and store documents. By using an electronic process, mortgage lender’s could drastically reduce their mortgage production cost. Using a ten cent figure for paper production and storage, a mortgage lender could save about twenty dollars per file, using a two hundred page mortgage doc set as the example. Regardless of how you assign a value for cost per page and how many pieces of paper are in a mortgage file, lenders could capture an immediate savings by changing their old traditional model of production. 

Hugh J. Fitzpatrick, III   

Please visit my website for a video on Electronic Closings:  http://www.newenglandtitleandescrow.com/the-benefits-of-an-electronic-mortgage-system/