With interest rates increasing by 300% in less than 8 months, coupled with the rapid increase in home prices, many potential homebuyers have elected to hold off on purchasing a home. To offset the increased interest rates, the market has deployed seller paid 2-1 buy downs entice buyers and decrease the cost of home-ownership for the first 2 years.
While the 2-1 buy-down strategy is a valuable tool to attract homebuyers; many real estate agents and homebuyers are turning to a Digital Mortgage Marketplace. These digital marketplace lending platforms offer 1% lower interest rates, compared to most all other lenders on 30 year fixed loans, fast mortgage pre-approvals and low cost loan options with a streamlined, efficient loan delivery and closing.
When the real estate industry is looking for every tool they can use to offset the decline in homebuyers demand in today's market, a digital mortgage marketplace should be considered and explored.
What is a Digital Mortgage Marketplace?
A Digital Mortgage Marketplace is an online multi-lender mortgage lending platform that integrates the Nation’s lowest interest rates and fee lenders’ underwriting guidelines, rates, and pricing to provide users an online loan pre-qualification and identify the lowest rate and fee loan in 3 minutes.
Once a user selects the lowest rate and fee loan from the marketplace, they can upload the required documents based upon the loan pre-approval, then the loan is delivered to processing and underwriting within 24-48 hours. This fully digital mortgage offers the best rate mortgage loan thus decreasing the cost of homeownership and increasing your buyers demand to purchase homes.
How does a Digital Mortgage Marketplace attract more homebuyers?
Digital Mortgage Marketplaces gives its clients 10% more purchasing power for free compared to most lenders in the market. The system is designed to offer 1% lower interest rate compared to most lenders and digital mortgage lender while matching the same discount points. This 1% rate savings is equal to approximately 10% of the purchase price. This is equivalent to a home buyer purchasing a $450,000 home for $ 400,500. In this case it’s a little more than 10% gain for free compared to other lenders.
How is this technology changing the mortgage market industry?
In the age of automation, where rockets land themselves, it is new, but not unrealistic to expect the same when it comes to mortgage lending. The mortgage marketplace delivers the power of automation, to compute hundreds of loan programs, process multiple lenders loan programs within seconds to produce digital mortgages. Thereafter, we decrease the processing to underwriting and closing time by using other automation internally to fast track the delivery of a closed loan.
Single User Session to identify best loan in market for homebuyer
- User submits basic information to the online mortgage application
- Identifies lowest interest rates
- Selects lowest rate and fee mortgage
- Uploads required documents determined by loan approval
- Receives E-loan disclosures via email
- Loan is automatically sent to processing
- Loan is sent to underwriting
- Clear conditions
- Schedule closing
What are the benefits of using a Lenders Digital Mortgage Marketplace?
These Digital Mortgage Marketplaces rely upon perfected automation to decrease the cost of originating and delivering a mortgage loan. These systems generate more loan approvals because they represent several mortgage lenders loan programs and underwriting guidelines. Consumers want easy, simplified solutions that protect and promote their financial health.
1. Streamlined Loan Origination: A digital mortgage marketplace helps to streamline the entire mortgage process by consolidating all the different steps involved such as loan origination, underwriting, and closing. This simplifies the process and makes it easier for everyone involved.
2. Increased Transparency: By using a digital mortgage platform, lenders can provide more transparency about their offerings so borrowers can compare products and make an informed decision about which option is best for them.
3. Reduced Processing Time: With many facets of the mortgage process now automated, processing times are drastically reduced - sometimes from weeks to days or even hours.
4. More Loan Approvals: A digital mortgage platform constantly adds new high valued lenders that offer a wide array of loan programs to insure maximum loan approvals.
5. Increased Accessibility: Digital mortgage marketplaces make the process of getting a loan more accessible for everyone including those who may not have access to traditional brick and mortar banks or credit unions.
6. Lowest Rates and Closing Cost: By automating many of the steps involved in obtaining a mortgage, digital mortgage marketplaces can reduce costs for both borrowers and lenders alike – resulting in lower interest rates for borrowers.
Conclusion: Digital Mortgage Market Summary
In summary, digital mortgage marketplaces are transforming the way mortgages are obtained, bringing numerous benefits to both borrowers and lenders alike. By streamlining processes, increasing transparency, reducing processing time and improving data security, they’re making the entire loan process faster, easier, and more secure than ever before.
With so many advantages on offer, it’s no wonder that this technology is gaining such popularity in today’s financial world. If you’re considering a other lending options to increase home-buyers demand, then it definitely pays to explore the possibilities of a digital marketplace first.
