Solidifi: More Borrowers Reviewing Documents Online Prior to Closing

Source: Solidifi

Borrowers are becoming more comfortable reviewing documents digitally prior to closing, according to the Solidifi 2022 Consumer Mortgage Experience Survey.

The survey showed that 59% of borrowers want to review documents digitally prior to closing. This is up from 50% in 2021.

Solidifi polled over 1,000 residential borrowers 18 years of age or older in the United States who have refinanced or purchased a home within the last two years to assess experiences with the closing and appraisal process.

“This year’s survey results reaffirmed that borrowers continue to value in-person interactions for both appraisals and closings,” said Solidifi President Loren Cooke. “People have a better experience when they interact with the appraiser and closing agent. While digital is increasingly becoming part of the closing experience, the process itself is becoming more—not less—personal.”

According to the survey, borrowers continue to want in-person closings for better communication and increased trust. In fact, 81% said that face-to-face is the ideal way to close versus 19% that prefer remote online notarization.

It should be noted however, that of the 81% who prefer in-person interaction, 60% want a paper process, 25% prefer a hybrid process of both paper and electronic documents and 15% prefer in-person with fully electronic documents.

“Consumers want more closing options and flexibility, and as an industry we still have work to do to educate consumers on the options available to them,” Cooke said. “But regardless of how the closing is conducted, the experience has to be flawless.”

The survey also showed trust in e-signatures continues to increase, rising from 74% in 2019 to 89% in 2022.

Good communication is associated with higher satisfaction with the title company, and poor communication is the top reason for dissatisfaction, the survey showed. Having a closing agent who communicates well and is prepared has become even more important. Survey results showed that 75% of borrowers want a closing agent who clearly communicates the process and what borrowers need to do at each step. This is up from 59% in 2021.