For consumers and lenders alike, the mortgage process can be a cumbersome and time-consuming process.
Recent data from Ellie Mae showed that on average, it takes about a month and a half to close a mortgage loan.
But Caliber Home Loans wants to change all that.
On Thursday, Caliber Home Loans, a mortgage origination and servicing company, unveiled a fully digital mortgage that the company claims can shrink the loan process from 45 days down to 10 days or less.
HousingWire got a preview of the program, which Caliber Home Loans calls the “Caliber Ultimate Homebuying Experience.”
According to details provided by Caliber, the “Ultimate Homebuying Experience” is a streamlined application, approval and closing experience for conventional, government, and Caliber portfolio loans.
The program takes nearly all of the mortgage process online, using various technological advancements to automate the process, from application all the way through closing.
Caliber boasts that this program is different than some other digital mortgages because of the company’s “best-in-class” loan officers and account executives, who work with the borrower throughout the process.
According to the company, the program can “simplify the mortgage process and to reduce stress” on borrowers.
So how does Caliber close a loan in 10 days or less?
According to the company, its “Ultimate Homebuying Experience” automates much of the home buying process, including appraisals in some cases, which several other lenders recently cited as a impediment to shorter loan closing times.
Caliber said that it developed a full application process that takes only minutes, as well as electronic verification for some of the “most important” parts of the mortgage application, including income, assets and employment.
That electronic verification reduces the need for loan applicants to provide physical documents, like W-2 forms or bank statements.
Using those technological advancements, Caliber claims that it take a loan from application to closing in less than 10 days on eligible mortgages, all while providing “personalized assistance” from Caliber loan officers and account executives to help borrowers through the entire loan process.
Sanjiv Das, the CEO of Caliber Home Loans and a former CEO of CitiMortgage, said that the shorter loan process does not mean that the lender’s underwriting standards are impacted in any way.
“We place the consumer experience at the center of all the products and services we offer, and this program underscores that commitment,” Das said.
“The Caliber Ultimate Homebuying Experience will make mortgage applications, approvals and closings easier and faster and does not impact our robust underwriting guidelines,” Das added.
“With our high-touch business model, we think it’s the best of all worlds,” Das concluded. “We are thrilled to launch this program and look forward to enhancing the homebuying experience for our clients.”
According to the company, the “Ultimate Homebuying Experience” is now available.