Remote working changes the way we do business. Borrowers need digital closing options. Fannie Mae supports many digital mortgage solutions, including full eClosings, hybrid eClosings, and full eClosings using remote online notarization (RON).
Reduce cycle time and cut costs associated with generating and managing paper documents.
Borrowers can more easily review loan documents in advance, which helps create an informative, efficient closing process.
Improve data quality and reduce or eliminate missing documents and signatures in the closing package.
eNotes can be electronically signed in all 50 states. As of March 2020, more than half the states have passed some form of RON legislation or authorized its acceptance.
Yes. Selling Guide A2-5.1-03 describes all of our other policies related to electronic records, signatures, and notarizations. Note that electronic signatures are permitted under the terms of the Selling Guide but promissory notes may not be signed electronically unless the promissory note is an electronic note sold in accordance with A2-5.1-03. Lenders seeking to service or deliver eNotes must seek approval. Please see our Lender Letter 2020-03 for additional information on RON.
An eClosing (electronic closing) takes place when some (or all) of the closing documents are signed electronically. eClosings produce eMortgages only if the promissory note is signed electronically. While not all eClosings produce eMortgages, all eMortgages produced are the product of eClosings.
A remote online notarization (RON) happens when the signer is not in the same physical location as the notary. In a RON transaction, live two-way audiovisual technology (such as a webcam) is used to complete a notarial act.
Both the signer and Notary must access a RON platform where documents are uploaded. The technology must provide audiovisual capabilities so the notary and borrower can see and hear each other. Once the notary verifies the signer’s identity, the signer and notary both sign the document electronically, and the notary affixes an electronic seal.
eNote volumes are exploding as organizations embrace eMortgage to streamline their processes and offer a better borrower experience. Explore interactive content to find out how the industry has progressed in recent years, learn about impacts these technologies are having on business, and read testimonials from industry stakeholders.
What is an eMortgage?
An eMortgage (electronic mortgage) is a loan that originates upon the creation and execution of an eNote (electronic promissory note) during an eClosing. The loan is then transferred and stored electronically.
For additional eMortgage terms, visit the eMortgage Glossary.
Find a comprehensive list of training resources including job aids, checklists, frequently asked questions, and more in the eMortgage Learning Center.
How do I know if I'm ready for eMortgage?
The eMortgage Readiness Checklist outlines key steps toward adopting the digital mortgage process and will prepare you for selling and servicing eMortgages with Fannie Mae. Use it to assess readiness and track your progress.
Use the Fannie Mae eMortgage Calculator to evaluate the potential benefits of an eMortgage process for your business by comparing paper vs. electronic mortgage options. Test these scenarios:
Not sure about how to use the eMortgage calculator? Check out this demo video.
Use the eMortgage Readiness Checklist to review key steps toward adopting a digital mortgage process. This checklist will prepare you for selling and servicing eMortgages with Fannie Mae.
Fund faster with an approved Warehouse Bank (WHB) that funds eNotes. Find e-capable Warehouse Bank (WHB) options on the list below:
Verify your servicer can support eNotes. Find servicing options on the list below:
“With eClosings, it’s easier for homebuyers to go over all the numbers and any discrepancies beforehand. That has been phenomenal.”
Real Estate Broker with John L. Scott - Emunclaw
“The company recouped the cost it spent to implement a digital closing process in just three months.”
President-owner at Mid America
“In post-close & delivery, we save about 45 minutes to an hour across all the departments who touch the file.”
Chief Financial Officer at Thrive Mortgage
“Within three years, I think [eMortgage] will be normal and people will wonder why we did it any other way.”
Chief Operations Officer at Land Home Financial Services