The virtual shift in origination has led to efficient turnovers and easy-to-use tools that a number of companies have developed along the way. When it comes to virtual reverse mortgages, there are some pros and cons to using the platforms.
Companies across the board are looking to dive into the virtual reverse mortgage field if they haven't already done so. This includes companies like Liberty Home Equity Solutions. According to Reverse Mortgage Daily Liberty Home Equity Solutions president, Michael Kent is looking to develop a virtual reverse mortgage system in 2018.
“I’d be perfectly comfortable transacting a mortgage transaction online, and we see it in the forward space — the Rocket Mortgage coming out of Quicken,” said Kent, according to the report.
With reverse mortgages being tailored for seniors it's difficult to see virtual originations as an option. Though, Kent says with the amount of online shoppers and a growing line of tech-savvy seniors, he doesn't see why it wouldn't be a good option.
That being said, not all industry leaders are convinced when it comes to virtual originations.
"From the third-party originator’s perspective, Beth Paterson, executive vice president at Reverse Mortgages SIDAC in St. Paul, Minn., said she sees a virtual reverse originator as a 'major negative' — and that nothing beats a face-to-face meeting," according to Reverse Mortgage Daily.
Paterson's concerns revolve around misinformed borrowers. She believes that there will still be need for face-to-face meetings to clarify some of the more complicated avenues of reverse mortgages.
While it is clear that a virtual route may be inevitable in most company's future plans, not everyone is convinced. To learn more about some of the concerns surrounding virtual reverse mortgage originations, click on the image above.