Strong origination volume coupled with increased adoption of digital mortgage solutions, including e-notes, due to the pandemic helped drive record registrations on the MERS eRegistry during the first three quarters of 2020.
According to ICE Mortgage Technology, formerly MERSCORP Holdings Inc., which operates the registry, the ratio of electronic notes to paper notes on the platform increased from approximately 3% in January to over 5% through September, and had reached 6% as of October.
“We’ve seen a number of factors converge this year to drive the industry toward offering a truly digital mortgage,” says Joe Tyrrell, president of ICE Mortgage Technology, in a release. “We’re excited about the continued growth of the MERS eRegistry, and we look forward to working with more market participants as they invest in intelligent workflow automation.”
An electronic note, or e-note, is the functional equivalent of a paper promissory note when created in conformity with e-commerce law requirements, and upon origination, is registered on the MERS eRegistry.
MERS member institutions, including lenders and originators, registered 286,403 e-notes January through September, more than twice the number registered in all of 2019.
Additionally, September 2020 set a record with 51,234 e-notes registered on the MERS eRegistry.