Mortgage Costs Hit an All-Time High: Lessons from Guild Mortgage
Anyone that has bought a house with a mortgage knows there’s a lot of paper involved in the process (roughly 150 pages!). And although digital is transforming many industries, the closing process largely operates the same way it has for 30 years, despite interest in the digital mortgage. All this leads to increasing, unsustainable costs. In fact, the cost of mortgage originations hit an all-time in Q2 and total production expenses reached $8,957 per loan.
It’s a safe assumption that eventually mortgages will be fully digital, promising lower costs and a better customer experience. But smart lenders want to get started today, so what is the first step in getting to that future?
Guild Mortgage provides an example. Guild, one of the largest independent mortgage lenders in the U.S., is a leader when it comes to customer experience. Having just announced their eClose solution, it’s clear that Guild is constantly considering how they can leverage technology to make borrowing easier and lower their costs.
This year, Guild partnered with DocuSign to start an immediate transformation and take a big step in their long-term strategy. The two firms worked closely - addressing business goals, execution options, and identifying best practices for rolling out the solution at scale. The result was a thoughtful plan on how eSignature can be used deeper in the Guild closing workflow, ultimately digitizing 70% of the closing package. Guild is launching an eClose pilot this month with a nationwide release to follow. They anticipate a positive reception from funders, signing agents, and borrowers alike.
DocuSign believes the lending process needs efficiency and simplification and we are proud to partner with Guild and other customers who agree. If you are a lender ready to own how your business enters the age of the Digital Mortgage, DocuSign can help. A flexible platform built to meet your business needs, DocuSign Hybrid Closings include eSignature, eNotary, and eMortgage functionality.
Our team can help you build a consistent borrower experience with an immediate reduction in hard costs, matching the right solution to your needs. Don’t wait for the digital mortgage to find you. Take the lead and learn more about how these offerings can optimize your workflow - connect with DocuSign today.