MISMO, the real estate finance industry’s standards organization, this week announced the launch of the e-Eligibility Exchange to further accelerate industry-wide adoption of digital closings, according to a press release shared with FinLedger.
The organization says the exchange, developed in partnership with Snapdocs, will provide centralized access to acceptance criteria and enable lenders and other industry participants to easily determine the right type of digital mortgage closing for each long. These include the use of electronic promissory notes (eNotes) and remote online notarization (RON).
“This Exchange is part of our strategy to offer solutions to mortgage finance’s toughest challenges, support broad adoption of industry standards, and enhance the scalability of digital closings,” stated Seth Appleton, president of MISMO, in the release.
MISMO says that while the number of digital mortgage closings continues to rise, industry-wide adoption has been slowed by the lack of transparency into electronic closings.
As a result, the e-Eligibility Exchange provides insight by quickly assessing the different factors that impact these closings, giving industry professionals information on investor and counterparty requirements, eNotarization regulations, county eRecording acceptance, settlement agent readiness and title underwriter restrictions.
It also noted that the exchange will help maximize the digitization of closing processes, leverage MISMO industry standards and increase the benefits of electronic closing for every participant involved in a mortgage loan’s life cycle.
Many lenders are familiar with digital closings (eClosings), but they might not know just how valuable they can be to their business. A recent study found that digital closings shorten the time it takes to close, reduce errors and increase ROI — all while improving customer experience.
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Contributors to the exchange include American Land Title Association (ALTA), Deutsche Bank, First American, Freddie Mac, Freedom Mortgage, Mr. Cooper, the National Notary Association (NNA), the Property Records Industry Association (PRIA) and Stewart Title.
“At Snapdocs, we’re working backward from a world where the many benefits of digital closings are accessible to everyone. Through our partnership with MISMO, and the collaborative efforts of the many contributors to the e-Eligibility Exchange, we’re empowering lenders to overcome one of the most significant barriers to the adoption and scalability of digital closings. This initiative is a perfect example of what the mortgage industry can accomplish when we come together to drive innovation,” said Camelia Martin, vice president of industry and regulatory affairs at Snapdocs.
The e-Eligibility Exchange is now available free of charge to MISMO members, Exchange data contributors and Innovation Investment Fee payers via an online interface and API integrations.
In other recent proptech news, RentSpree launched its Agent Tools suite to improve the relationships between agents, landlords and renters. RentRedi also raised a $12 million Series A and announced plans to scale its landlord rental and management software.