I handwrote all my apps that were not on the computer. at most, for the essays, if they were required and were long ones, I typed it up on the computer, printed it up and did a fun little arts and crafts pasting job.
point is, I don't see that it did anything to hinder my progress--i've been invited to plenty of interviews and have two acceptances at this point. I did save the headache of working with typewriters and correction tape, and made my life much much easier.
it's up to you, but i wouldn't do it because it's "necessary."