Remote work has profoundly impacted the title insurance industry, which traditionally relied on physical office spaces to carry out transactions. The industry has had to develop new ways to facilitate essential processes such as notarizing and witnessing documents. For example, many title agencies have adopted remote online notarization (RON) to complete transactions, where a notary public verifies the signer’s identity over video conferencing and then electronically signs the document. This change has enabled title companies to offer seamless service to their clients, regardless of location.

Benefits and Challenges

Adopting remote work policies has brought many benefits for both employees and employers, providing more flexibility and improved work-life balance for all. Employers have benefited from reduced overhead costs, such as rent and utilities, as large physical office spaces are no longer necessary. Remote work has expanded the talent pool for title insurance companies too, with the ability to hire new employees from any location.

However, the shift to remote work has not been without its challenges. One main issue concerns communication between employees, clients, and third parties involved in real estate transactions. The time-sensitive nature of real estate transactions has compounded this difficulty, with any delays or miscommunications having significant consequences.

Most title insurance companies addressed this challenge by leveraging digital communication channels such as email, phone, and video conferencing to facilitate timely and efficient communication. Virtual meetings and tours have also been used in place of physical meetings and to improve client engagement. Collaboration tools like Microsoft Teams and Slack have been implemented for better, more effective communication and collaboration among remote employees as well.

Ensuring Security and Efficiency

Maintaining cybersecurity and data privacy is another significant issue when working remotely. The practices increase the potential for cyber-attacks, leading to data breaches and other security issues. Robust cybersecurity measures are now essential to safeguard companies against these threats. For example, most companies have adopted multi-factor authentication, virtual private networks (VPNs), and data encryption to protect sensitive client information.

Looking forward, adopting remote work policies is sure to be a permanent feature of the title insurance industry. Companies that adapt to these changes and embrace new technologies and strategies will continue to thrive and grow.

The post The changing landscape of title insurance: how remote work is reshaping the industry first appeared on titlecapture.com.

Today’s topic is a special one. We are going to talk about the SECURE Act and Remote Online Notarization and our guest today is Tom Sadler, the Chief Operating Officer of Distinctive Title, in Virginia.

During the podcast we will be touching on:

• The SECURE Act
• Remote Online Notarization (RON)
• The advantages of RON and the challenges in adopting it
• Tech platforms used by Distinctive Title
• Transitioning and breaking through the tech barrier

Hope you enjoy it!

Check out:
https://www.titlecapture.com (See how you can grow your title agency)
https://www.distinctivetitle.net (Distinctive Title)

If you have any feedback or suggestions for topics you’d like me to cover, feel free to reach out to alex@titlecapture.com or search for Alex Samant on LinkedIn and send a Direct Message.

The post A primer on the SECURE Act and Remote Online Notarization – with Tom Sadler @ Distinctive Title first appeared on titlecapture.com.

The pandemic highlighted a need for more streamlined, remote service options. We’re excited to report that the U.S. House of Representatives approved via a bipartisan voice vote on Monday, February 27, 2023, the Securing and Enabling Commerce Using Remote Electronic Notarization Act (SECURE Notarization Act) of 2023 (H.R.1059). Read on to find out more.

What is The SECURE Notarization Act?

Approximately 43 states and D.C. already have legislation for remote online notarizations (RONs) that allow notaries to perform legally approved duties online rather than in person. Yet, various problems exist beyond the lack of nationwide approval. Most states have independent laws around notary-related offline and online document handling and approval processes.

The SECURE Notarization Act is set to change everything by providing a framework for standardized RONs on a national level as part of interstate commerce. It would allow members of the military, others working overseas, senior citizens, caregivers, and people dealing with serious illness to move forward with notarization tasks that traditionally required the face-to-face presence of a notary public. These services are critical in the real estate industry when selling, purchasing, and mortgaging properties.

The basics of the legislation:

– All states and courts within the U.S. must recognize RONs no matter the physical location of the notaries within the country.

– Notaries could “remotely notarize electronic records and perform notarizations for remotely located individuals,” including people in other countries under special circumstances.

– All notaries and others who used the applicable services would have to follow specific technical standards related to communication technologies, including video chat and the “creation and retention” of audio and video recordings.

The CEO and President of Mortgage Bankers Association (MBA), CMB Bob Broeksmit, stated that he believes the creation of minimum federal standards with this legislation would allow notaries to perform “safe and effective” RONs in all states. The legislation makes closing processes “more convenient” and “protects against fraud.” He noted that RON standards of the Mortgage Industry Standards Maintenance Organization (MISMO) and the MBA-ALTA model state bill are met.

What Exceptions to the Legislation Exist?

The only major exception relates to pre-existing laws. If a state already has a RON law that provides the same or better standards, it would always represent the primary legal guidance, especially if better consumer protection and fraud-prevention standards are offered. At this time, additional exceptions are unknown.

What Happened to the Last Bill?

Although under a previously different majority during the 117th Congress, this is the second time the House approved the SECURE Notarization Act. During the 2021-2022 session, they passed previous H.R.3962 legislation by the same name. The Senate Bill (S. 1625) was also passed on to Committee and stalled earlier this year.

The reintroduction of the Legislation on February 17 by Rep. Kelly Armstrong, R-N.D., and Rep. Madeleine Dean, D-Pa. and rapid approval within a mere 10 days combined with strong support from sides that have become more partisan over the years is a good sign. Fast approval pressures the Senate to introduce a companion bill and re-address the matter faster.

Final Thoughts

We agree with experts that the failures of the 2021-2022 Senate to pass this eNotarization legislation are unlikely this time around for several reasons:

Consumers, notaries, and industry leaders demand electronic convenience, simplified standards, heightened safety and security, and reduced manual processes that aren’t economically or environmentally sustainable. People are weary of losing time and money to conflicting state standards. They’re also frightened of risks associated with face-to-face transactions. Lastly, for an increasingly stay-at-home market, these changes are critical for equal accessibility.

The post BREAKING: House approves Remote Online Notarization Bill first appeared on titlecapture.com.

What Sets Pavaso Apart from the Rest?

Pavaso is unique in creating a total digital solution to help everyone involved in the closing process complete the transaction quickly. Lenders, title companies, real estate attorneys, and consumers can all use the innovative Platform to stay connected during the closing process. The creators of Pavaso are always on the lookout for new real estate challenges and work to create comprehensive solutions to add value to the closing process for everyone.

Created over ten years ago, the eClosing Platform has served as a forerunner in the digital mortgage transformation movement. The creators have worked and continue to work towards empowering everyone involved in real estate closings to offer digital eClosings on our secure collaborative Platform. It’s not about reinventing the closing process. Instead, it helps streamline and enhance workflow to make the closing process easier for everyone involved.

A World-Class Customer Experience

Making customers happy is all about simplifying and speeding up the closing process. With the unique eClosing platform, customers can close on a home smoothly within about 15 minutes. You can deliver a best-in-class closing experience in-person or remotely with built-in features. Some of the most popular system features include:

• Flexibility to change closing types at the time of settlement
• Secure delivery of documents to all the parties throughout the whole closing process
• Easy to navigate tasks and a streamlined signing processes
• Option for sellers and buyers to join the same settlement session
• Real-time updates and required actions that allow for immediate status updates
• Customers can easily access documents before and after closing from anywhere at anytime
• Sensitive data protection with multi-level security and no data selling

Pavaso identified key problem areas in typical real estate closings and has provided top-of-the-line solutions to help fix them. For example, it offers the flexibility to change closing types at settlement, so you don’t have to reschedule. The team at Pavaso is constantly seeking out prospective issues associated with typical closings so that it can address them and create innovative solutions to eliminate them going into the future.

Providing a contact-free platform that can be efficiently utilized for remote online notarization (RON), in-person eNotary (IPEN), and remote ink-signed notarizations (RIN) was the goal. It can assist with all types of real estate closings. While specializing in hybrid eClosings, it can perform entirely paperless and traditional closings.

Now more than ever before, all parties involved in real estate closings desire more streamlined processes, and we’ve created innovative solutions to allow you to offer them. You can select any option below to discover more about our Platform’s innovative components or simply call to speak to one of our knowledgeable representatives.

The post Pavaso Technology Supercharges the Real Estate Closing Experience first appeared on titlecapture.com.

This trend is not entirely new, but it has rapidly expanded in recent years. Even before the pandemic began, many real estate agents used online tools to help clients sign documents. The pandemic merely cemented these trends. Instead of going away, virtual real estate transactions are sure to remain and are considered the “new norm.”

DocuSign

While many clients enjoy filling out their paperwork online, some prefer having in-person closings. DocuSign makes the execution of closing documents simple, and most people are already used to accessing DocuSign from their mobile devices. Because clients already have experience using DocuSign, transitioning to this technology is straightforward for most clients. People uncomfortable with this online technology can always give their lawyers power of attorney to sign paperwork for the transaction.

To make virtual real estate transactions easier, DocuSign has even created DocuSign Rooms for agents. The agent can group all of their listings and information in these rooms. Once someone is ready to buy or sell a property, the DocuSign Rooms can easily send out all final paperwork.

Notaries

Each state has rules about what can and cannot be performed online. On March 31, 2020, notaries in New York were officially able to start using audio and video technology for notarizing documents. Twenty-nine other states have passed permanent remote online notarization (RON) legislation other than New York, which may have been the catalyst for the virtual real estate transaction. Because of this, many clients can get documents notarized without leaving the comfort of their homes, thus the commencement of the virtual real estate transaction.

Virtual Tours

Virtual tours have been used in real estate for years. Many listing websites used video tours to increase the odds that buyers would become interested in their listings. While this was a fairly common trend before the pandemic, it was not universally adopted.

Now, buyers prioritize listings that include virtual tours. Zillow, StreetEasy, and other sites encourage virtual and 3D tours. In 2020, Zillow even released data that showed 3D tours had increased by 152 percent from 2019 to 2020.

Smart Contracts

At the forefront of the virtual real estate transaction, Smart contracts make managing contracts simple. For instance, DocuWalk uses blockchain technology to record different transactions. This technology fulfills audit requirements and ensures document security. Because of the technology, messenger services and faxes have essentially become obsolete.

By removing the physical paperwork, DocuWalk makes finishing a transaction as straightforward as possible. Each user can edit the contract and track changes. Other than blockchain signatures, the contracts can be completed with e-signatures.

In 2015, Zillow acquired a similar program known as Dotloop. Users can store, share, sign, and edit their documents through this platform. Meanwhile, DocuSign is broadly used for signing all kinds of documents.

Appraisals

Appraisals are necessary for mortgage lending, but the pandemic temporarily halted appraisals. Thankfully, appraisers found alternative ways to view properties. Today, many appraisers use a hybrid approach that takes advantage of exterior appraisals, photographs of the property’s interior, and routine interior inspections.

Mortgages

The pandemic temporarily changed the mortgage market. Because unemployment became more common during the pandemic, banks had to spend more time researching a borrower’s job history and employment status. Digitization has simplified some aspects of mortgage lending, but banks are still required to complete their due diligence.

Banks have resorted to using Freedom Mortgage and similar platforms to offer mortgages a little easier. This platform has a digital verification service known as AccountChek. Through AccountChek, banks can look at an individual’s employment information and income.

There are other platforms available as well, which in many ways support the virtual real estate transaction. For example, SnapDocs works with Encompass to speed up digital closings and other parts of the transaction. Meanwhile, Ellie Mae’s Encompass is designed for originating loans.

Meanwhile, Better and Morty are both useful for mortgage brokers and borrowers. These systems help buyers secure a loan package with the lender. Then, the platforms guide borrowers through the entire closing process. Because of how popular these digital platforms are, more innovators will likely step into the lending industry to improve virtual transactions.

To stay competitive in today’s marketplace, agents must know how to use virtual real estate transaction tools. Emerging technology continues to appear that can streamline all aspects of the transaction. Today, buyers can use virtual platforms for touring a home, originating a loan, editing documents, and signing closing papers. While the in-person touch will always remain an essential part of the real estate marketplace, virtual transactions will continue to play a significant role in upcoming years.

The post Virtual Real Estate Transactions Are Here to Stay first appeared on titlecapture.com.