Online Mortgages Coming to San Mateo?

Author:	Lucas Jones
Source:	Homes Discovered
Date:	August 24, 2006

Just as realtors have been doing an ever-increasing amount of their work electronically, mortgage lenders are also  looking to revolutionize  their  industry by doing the entire process online.  Borrowers in the San Mateo area and beyond will go through a series of steps on an online system that completes every bit of the transaction electronically, saving the borrower and lender time and paperwork.  These systems have been dubbed 'e-mortgages.'  So far there have been very few 'e-mortgages' written, percentage wise, but that number is rapidly increasing. There are a number of benefits to the buyer in doing an 'e-mortgage.'  First off, an 'e-mortgage' takes much less time to complete.  No more piles of paperwork to manage as everything is stored electronically.  The forms can be processed and transferred almost instantaneously and more than one person can work on the transaction. Considering much of the mortgage process involves enough paper to wipe out a rainforest, the 'e-mortgages' would save a bunch of time that would normally be spent producing, managing, delivering, and maintaining the documents.   Much of the documents could be standardized so that a lot of prep work could be cut out of the equation.  Loan processers in Burlingame would be able to knock out more loans quicker and cheaper. For the buyer in Palo Alto, this could mean cheaper closing costs and reduced interest rates, in the future of course.  The 'e-mortgages' could also be more accurate as changes could be made much faster and easier, negating the need to pump out more volumes of paperwork.

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