Closing 411: Notaries

You made it! It’s closing day! Whether you’re in the title business or a soon-to-be homeowner, you’ve probably got questions. And since we at SettleWise can never pass up a chance to provide extra clarity, let’s look at one key aspect of your closing… notaries!

Authenticity of Signatures🔗

One of the key concerns in a transaction as momentous as buying/selling a home is the authenticity of documents and signatures. That’s where notaries come in. A notary’s job is to verify that the signers and signatures are all legit willing participants, so that the following critical documents can all be verified:

1. Mortgage Documents

2.Title Transfers

3.Deeds

4. Closing Documents and Affidavits

Why A Notary Matters🔗

1. Following Real Estate Laws: Real estate transactions are subject to tons of laws, many of which are state specific. Notaries provide assurance that the transaction and documents it involves are all correctly filled out, handled, and processed, so that the legality of the transaction is above board.

2. Making Sure Everyone is Exchanging Money Voluntarily: Believe it or not, this is a thing. With the sheer quantity of money being exchanged in a home sale, it’s important just to make sure that everyone is a willing participant, and no one is under duress.

3. Keeping a Record: It’s important to create and maintain a legally binding record of who signed what when, so that any future disputes over the property can be crystal clear.

4.Defending Against Fraud: How much of a bummer would it be if the people at a closing weren’t really who they said they were. A notary makes sure no one is playing fast and loose with their identity and trying to commit fraud.

5. Overseeing RON: We’ve written elsewhere about Remote Online Notarization. Check out that article HERE.

What Does a Notary Do with Documents After Signing?🔗

After the closing, the notary scans the documents to the title company and overnights the closing package to the title company's office. The title company will then submit documents to the lender for funding approval, so the files can be disbursed.

Without notaries, there’d be a whole lot less peace of mind in the closing process. That’s why it’s important to make sure that all real estate transactions occur with a notary, so that everything about the buying and selling of homes can be legit and hassle-free. (Well, as hassle free as possible, given all those renovations you’ve been thinking about…)

If you have any questions about notarization when closing with SettleWise—or anything else—don’t hesitate to contact us at orders@gosettlewise.com.