Thanks to the advancement of technology, buyers may no longer need to take a long drive to close in on the sale of their newly purchased home, as remote closing is being made available in more states in the U.S. What are the pros and cons of remote closing?
Pros of Remote Closing
One of the benefits of remote closing is the convenience it brings to buyers, especially those who are buying from afar, reports Realtor.com. This means that buyers who are living in a different city or state may no longer need to skip work and drive for hours just to close on their new home.
While this option was previously not available in several states in the U.S., the publication notes that many areas across the country are now offering this to buyers. For instance, there is Snapdocs, which is a platform that helps simplify out-of-office mortgage loan closings.
The number of buyers closing in remotely have reportedly tripled in 2015 or an increase of 214 percent for the said company.
"We're currently facilitating 25,000 remote mortgage closings per month and seeing 20 percent growth every month," said the company's CEO Aaron King.
Aside from this, remote closing would also give buyers more options when it comes to choosing a mortgage lender. Buyers would no longer be limited to lenders within their area and could, therefore, seek for better rates and terms from a different lender.
Cons of Remote Closing
Remote closing, however, also has its own share of disadvantages. The publication notes that remote closing may not provide buyers with the same amount of clarification that they would get if they signed at the office where staff members can easily address their questions.
Global Post also notes that attending a real estate closing in person will help avoid any issues or problems in the future.
Attending a real estate closing will also help you familiarize yourself with the different terms and conditions stated in the contract.
