eMortgage advancement: investors accepting eNotes today

Why mortgage companies are making the shift toward eMortgages

eMortgages offer organizations the ability to digitally originate, transfer, and store mortgage documents. In recent years, demand for these digital capabilities has grown rapidly due to social distancing requirements driven by the COVID-19 pandemic. To meet these needs, the number of organizations within the eMortgage ecosystem has also increased significantly. This ecosystem includes originators, investors, warehouse banks, servicers, and sub-servicers. All of these parties within the eMortgage ecosystem play a vital role in ensuring a successful eNote transaction.

The value of eNotes and joining the MERS® eRegistry

An eNote is a promissory note in electronic form that complies with the requirements of the eCommerce Laws (UETA and ESIGN). Any investor’s additional requirements should also be complied with when originating the eNote. Once an eNote is signed by the Borrower, it is then registered on the MERS® eRegistry - the mortgage industry’s authorized registry that identifies the current Controller (holder) and Location (custodian) of the Authoritative Copy of an eNote.

With eNotes, lenders are able to reduce costs by streamlining the post-closing and certification process, eliminating transportation costs, and reducing costs associated with lost, destroyed, and missing paper notes. Additionally, investors find eNotes valuable due to their lower costs of handling and greater access to information.

As a part of the Encompass® 21.3 Major Release, we are adding an eNote option to the existing hybrid closing functionality within Encompass. This option will automatically tamperseal the eNote upon execution, securely store it in the Encompass eVault, and registers it with the MERS® eRegistry.

Investors who are accepting eNotes today

Ready to begin your eClosing journey? These investors are currently integrated with the MERS® eRegistry and are transacting eNotes now. Click here to see the full list of MERS® eRegistry Participants.