RealTown's RealTalk

I've been a Docusign user for about two years now and many clients, young and older have really liked the convenience and high tech approach. The great thing about this product is that ANY document, exhibit, picture, etc can be signed with an electronic signature, which is the key advantage over other e-sign tools in the marketplace.

I've never had an issue until recently when Bank of America has started requiring original contracts (they haven't mentioned fax copies) saying its FHA policy. After asking for the FHA guidance on this (because I genuinely needed to know if I need to change my business processes) they referenced two inapplicable letters that didn't say anything about not accepting electronic signatures and then posited that Docusign is a "stamp."

After contacting FHA directly, they weren't familiar with any policy not allowing electronic signatures since they specifically allowed under federal law passed in the 1990's. Docusign has been great and the Chief Legal Office actually contacted BOA and is proactively addressing this issue. An Bui mentioned they published several blog posts on this topic but we still need firm FHA guidance on this. Until then, I will no longer be referring clients to this lender until their policy is consistent with current law.

Derec Shuler, REALTOR, GREEN, CNE

Mile High Urban Living, Denver, CO

We have not reached the level you have in that we are still required to obtain REAL signatures on everything. I do use QuickContractOnline which has the capacity for handling digital signatures but the human systems are not yet accepting it.

John

 

John E Cleek, Ph.D., e-PRO,

Certified Short-Sale Professional

Realtor� and Marketing Consultant

The CrownPlatinum Team

Crown Realty of Kansas

Miami County - Linn County - Johnson County

1005 W. Amity � Louisburg, KS 66053

Licensed in Kansas and Missouri

johncleek@crownplatinum.com

www.crownplatinum.com

Pho: 913-709-4423 � Fax: 913-837-2549

Finding the RIGHT REALTOR . . . Priceless!

 

On Jun 25, 2009, at 2:27 PM, Deede Wockenfuss wrote:

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Closing RE: Looking to go Digital and Green at the Same Time? Deede Wockenfuss Licensed Real Estate Agent Chandler, AZ Jun 25, 2009 In today's marketplace, more and more agents and brokers are looking to cut costs. Digital Document Management is one solution that also offers a benefit to the ecology. In Real Town's endorsement of Docu-Sign, I would like to toss in my opinion. I have been using Docu-Sign since last Fall. It is a FABULOUS tool and I really don't know how I lived without it. However, there are some state's in the country, brokers still in the Dark Ages, and even FHA and VA, who do not recognize electronic signatures. We need to get these states, brokers and government branches to recognize the reality of the cyber world immediately. I do a lot of short sales. States that do not recognize electronic signatures, where these lenders reside, force a 'hard signature' on each document, including the Listing Agreement. The inconvience, after getting used to the ease and immediate management of the documents, is overwhelming. But, most astonishing, is large brokerages in my state (AZ), that refuse to allow their selling agents to 'accept' documents in a transaction that have an electronic signature. It is legal in our state, and recognized by our board's legal departments, but some of these traditional, older brokerages, think that they can dictate to listing agents of other companies as to how THEIR client (the seller) signs the documents. I had one agent with Coldwell Banker BEG me after close of escrow, to have the out of state seller RE-SIGN all of the documents with hard signatures. If I was unable to do this, then her broker was not going to pay her on the transaction. Because this agent was fully entitled to her commission, I convinced the seller to re-sign and sent the paperwork to her broker. I also sent a letter to her broker, that our company uses the 'legal process' of electronic signatures. In future transactions with their company, these are the ONLY documents they will receive. If they want 'hard signed' copies for THEIR files, I would be happy to provide the seller's contact information AFTER close of escrow so that they can gather those signatures themselves. As with all new and good technology, you have dinosaurs that will resist it. Knowing the possible problems and planning for them in advance, will make the transaction less burdensome for you. Deede Wockenfuss Marketing Manager, CybrSold Concepts (480) 248-9500 Office (888) 877-3710 E-Fax (602) 291-2368 Mobile Deede@CybrSold.Com CybrSold.Com

 

Editor's Note
I recall back in 1995 filling out a real estate licensing form in which I had to enter my employment history for the past 5 years. I was surprised when the form was returned "rejected" because I put down 1990 and did not go back 3 more years to 1987. Turns out this particular clerk was told when she first started work in 1992 to make sure all forms went back 5 years to 1987. Go figure ;-)