Fairway announces ‘hybrid e-closings’ for reverse mortgages
Fairway Independent MortGage Corp. announced the integration of hybrid e-closings for reverse mortgages on Tuesday, with the aim of including her experience with the technology on the forward side of the mortgage company for the first time in his reverse mortgage department.
“Fairway now enables HECM-Leners to sign the most loan documents before they are closed, making the process more efficient, more convenient and more well-friendly,” the company said.
An option rooted in the hope of industry
The HECM-Leners of the company will now be able to assess and sign the most documents from home, “said the company, starting at midnight on the agreed closing day. This is a priority, because it will enable borrowers” to absorb the details at their own pace “, while it also serves to reduce the time at the closing table, the company said.
The process will not completely remove “wet” signatures, since certain US Department of Housing and Urban Development (HUD) Rules still require such signatures for certain documents, the company explained. And the e-closing option is also exactly that, an option, because borrowers can choose an all-paper process if they are more comfortable with it.
“Fairway has led the road to digital mortgage closures, so that more than 200,000 e-closings for our forward mortgages have been completed since 2017,” said Peter Sciandra, EVP of Reverse Lending Operations and Secondary on Fairway. “Now we bring the same innovation and efficiency to reverse mortgages, to streamline the process and adjust more closely to forward loans.”
The company has previously explained for Housing‘S Reverse MortGage Daily (RMD) at the end of last year that technology development would be an important priority for the company in 2025, and this process update fits in with those broader goals. According to Tom Evans, EVP of Marketing and Technology for Reverse on Fairway.
“We break the myth that inverted mortgage lenders are not technically skilled,” said Evans. “Older homeowners embrace technology and we are committed to offer them the same digital progress that are available to send mortgage lenders.”
Improvement of the borrower experience, coming from ‘The Dark Ages’
The company also included the perspective of one of his branch managers with regard to the difference that the addition of an e-closing process has made on a more individual level. Christine Jensen, a branch manager and reverse lending SVP for the “Central Region North” of the company, explained that its office has reduced “manual signatures by more than half, simplified the process and reduces the tension on our 62+ customers.”
Sciandra added that his hope is that Fairway’s approach to embrace such technology is something that can be assumed industry-wide.
“Our goal is not just to promote Fairway – it is to elevate the industry,” he said. “By collaborating with our investors, title partners and technology partners, we create a mortgage landscape where reverse mortgage lenders have access to the same progressive digital solutions as traditional borrowers.”
SCIANDRA is uniquely suitable for facilitating that wider industrial interview, because he is Fairway’s representative on the board of the National Reverse MortGage Lenders Association (NRMLA). He previously telegraphed the hope to include new technology in the lender processes in a conversation with RMD in December.
“Unfortunately, we are still in many ways in the dark centuries in terms of technology,” said Sciandra at the time. “So we look at some things, work together with some software suppliers who are there to perhaps make some changes with how things are done.”
Wider technical integration
E-closings are also integrated into other loan products that the company offers, including Home Equity Lines of Credit (Helocs), second lien and bridge loans. Teri Pansing, SVP from Corporate Closing on Fairway, said that the company has moved to a point where 90% of its closures have at least a digital component.
The inclusion of reverse mortgages in this was seen as a priority for Dan Ventura, the president of Fairway of Reverse Lending.
“While we push the boundaries of digital mortgage solutions, we ensure that seniors enjoy the same progress that reform the wider mortgage industry – without sacrificing the personal touch they earn,” he said.
When they are reached, a Fairway representative told RMD that the hope is that this will start an industrial conversation about the inclusion of more technological tools in reverse mortgage loan processes.
Fairway previously explained that, in addition to hoping for more technology in the industry, the company wants to expand its reverse mortgage presence this year.
