Consumers Demand Online Mortgage Options

In the latest mortgage news the past year has radically reshaped consumer expectations, with the availability of online mortgage options now a significant factor in choosing a lender. 58% in a recent survey by ICE Mortgage Technology said having an online application would influence their decision. 47% would base their decision on whether the lender offered a mobile app. Electronic signing is also a must-have feature.2

Defining “First-Time Buyer”

First-time homebuyers are eligible for many financial incentives and assistance programs. However, these perks also apply to previous buyers who haven’t owned a home in the past three years.3

Strong Growth Could Cool Market

National Association of Realtors Chief Economist Lawrence Yun expects the economy to grow 4.5% in 2021, thanks to increased consumer spending as the pandemic lifts. At the same time, higher mortgage rates, more owners willing to put their homes on the market, and an increase in new home construction could help to increase tight inventory, easing the super-competitive housing market.4

High Demand for Less Expensive Homes

Buyers are seeking out homes in some of the least expensive neighborhoods in the country. Areas with a median home price below $100,000 have seen a 42 percent jump in home value over the last three years. The only drawback is that this shift may keep some lower-income people out of the market.5

Sources: 2businesswire.com 3themortgagereports.realtor, 4nar.realtor, 5magazine.realtor