There are many websites out there that allow you to complete your mortgage transaction online, and the number is growing everyday. However, in many respects, it is still much easier to window-shop for a mortgage online than it is for consumers to actually complete their online mortgage transaction. In this article, we will examine a variety of reasons that purchasing a mortgage online is still more difficult.

One reason for consumers’ reluctance to complete mortgage transactions online is the confusing number and variety of mortgage sites. While having lots of choices is generally good for competition, and for the customer, consumers can feel overwhelmed by sheer numbers in an online setting. This is why online mortgage websites may want to advertise on television and/or in print media, establishing a familiarity with consumers outside the online world.

This factor can combine with another factor that affects many consumers – simple technophobia. Many consumers simply do not trust the Internet enough to rely on it for a complicated and important transaction like obtaining a mortgage. Some consumer fears in this area have no basis in fact, and are merely a reflection of an irrational fear or misunderstanding of technology.

Other concerns, like the fear that information sent over the internet may not be completely secure, can be very legitimate. This is why online lenders usually use encryption on their information exchanges, to make sure the private and valuable information consumers send them in applications is not misappropriated by those who would use it for criminal purposes.

Another factor is that some mortgages simply aren’t well-suited for online underwriting. Refinances and equity mortgages for borrowers with good credit are easy, assembly-line type loans that are perfect for the online setting. However, home purchase mortgages are much more complicated, featuring a long escrow process.

If something goes wrong with this process, many prefer a loan officer who can sit down and explain what happened and how to move forward, as opposed to a computer screen. This is especially true for first-time home buyers who may be generally unfamiliar with the process and require lots of reassurance.