Discover Home Loans Survey: Consumers Say Technology Made Home Financing Process Better

Home FinancingA new consumer survey commissioned by Discover Home Loans revealed recently that potential home buyers make use of technology as a tool to simplify the otherwise labyrinthine, often convoluted process of buying a home.

The 2015 home buying season is due to kick off very soon, with the first month of calendar 2015 having just concluded. And a look at Discover Home Loans’ survey shows that about 90 percent of respondents admitted they used online technology to help them make better home financing decisions. 81 percent of these users said they had an easier time disclosing financial details to their lender, while 69 percent said that tech was vital in helping them maintain their financial documents.

Although a decent percentage of consumers – 36 percent – said that they are perfectly fine with home financing online with no physical or telephone contact with their lender, majority still preferred the traditional means of communication, which is via phone call or in person.

94 percent of consumers surveyed said that they talk on the phone with their lender, 88 percent said they do so via email, while 67 percent did in-person meetings with their lender. 68 percent of those who use electronics in communication said that tech made it easier to deal with their lender, while 54 percent said that they went online to fill out their home loan application.

“As technology continues to become an integral part of our daily lives, it’s only natural that buyers also use it to make the home financing process easier,” read the statement from Discover Home Loans senior manager T.J. Freeborn. “Not only are homebuyers using the internet to look at homes and neighborhoods, they’re also using it to submit documents and complete applications online.”

It was obvious to see how tech made it a breeze for many home buyers to carry out the mortgage process. About 80 percent said they furnished their required documents via electronic means, may it be to a lender or to a realtor, or for closing. Among those consumers, 90 percent said that the process was a time-saver. 86 percent of new home buyers, on the other hand, said that they do not have any qualms about sharing their sensitive personal or financial data via the Internet.

Also, 92 percent of home buyers who made use of online tech said it saved time, 83 percent said the main benefit was being organized, and 68 percent said that it was less paperwork to fill out. Over 70 percent of buyers said they submitted lender documents via email, a website, or a mobile application, with 47 percent of those surveyed pre-qualified through a lender’s website.

Talking about the future of online financing, the home buyers surveyed by Discover Home Loans made their share of suggestions on how to improve the online application process. The top suggestion was to ensure secure document submission (77 percent), while other popular suggestions included making online applications easy to use (72 percent), and offering round-the-clock, 24-hour support (52 percent).

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