Do real estate documents need a notary?
Are you planning on buying a home in the US? If yes, it is better to familiarize yourself with all the relevant documents and processes behind purchasing a home. Buying a home is a dream come true for most people, especially if it is your first home.
And if you don’t know the process, then it is best to get assistance from a trained notary. They can assist the buyer with the real estate transaction and ensure that all the important documents are signed and notarized.
The services of a notary are critical in executing real estate transactions. We’ll give you an idea about the role of a notary signing agent, the importance of a notarized document, and what will happen if you don’t get a trained notary to notarize your documents.
Who can notarize real estate documents?
An important thing that the buyer and seller need to understand is that not everyone has the authority to notarize the documents. Certain individuals have the authority to sign and notarize legal documents.
Role of real estate notary
Real estate transactions often include many legal documents, particularly if the buyer is going through the loan and mortgage closing process.
Therefore, most states require certain notaries to sign off the documents. Though not all states require a notary, most allow the following people to notarize real estate documents:
- Regular notaries
- Real estate agent
- Notaries who became notary signing agents without any additional training
- Title or closing agent
- Notary signing agents/loan signing agents
To become a notary, an individual can undergo a proper training program and exams. However, you don’t need to go through a training program to become a notary agent; they must comply with the state’s notary laws.
Further understanding
The state’s governor commissions the notary to fulfill the following roles and responsibilities:
- Be an impartial witness of the entire real estate transaction
- Check and affirm the signs of all parties, including the buyer, seller, real estate agent, etc.
- Properly acknowledge the legal documents that are necessary for real estate transactions, including the property deed
- Carry out all the duties that the states require them
Why is a notary signing agent crucial for your real estate deals?
A notary signing agent is integral in helping you sign off and close a real estate deal. Buying and selling a house might have some critical loan and other documents that require the signature of a notary signing agent.
The role of a notary signing agent goes way beyond simply signature witnessing and completing the mortgage closing process.
All the documents during the real estate closing need to be signed and notarized by a notary signing agent before they are recorded in the land records system.
There are criminals and people with ill intentions who might aim to create and record a fake deed to steal real property.
They can get corrupt and dishonest notary signing agents by their side to bypass the laws. Therefore, it is vital to understand the notarization process to learn about fraudulent activities or other crimes.
Who can become notary signing agents?
Now that you clearly understand what a notary signing agent is and their role let’s understand who can become one.
The state will set the rules for real estate dealings. Although it might not be necessary for a few states like Wisconsin and Michigan, other states would require the presence of attorneys.
Moreover, in some states, the notary can set their fees, but in a few states, there is a restriction on the fees that notary signing agents can charge. The buyer and seller can either choose any one of them as a notary signing agent:
- Closing Agent
A few states require extra credentials, such as the closing agent license to sign and notarize the documents for the real estate deal. - Attorneys
Some states require an attorney present at the time of loan signings or to complete the real estate deal. You can check whether your state requires you to have an attorney present for the notarization process. - Notary Signing Agent
Also known as loan notaries, these agents can sign and notarize the documents for the real estate transaction. However, they would need to submit background checks yearly, clear the exam for their Signing Professionals Workgroup exam, and have E&O) insurance for loan signings. Most real estate attorneys will take the services of these professionals to make it easy for the borrowers and sellers to close the deal. Title companies and lenders are more likely to take the services of a notary signing agent.
What real estate documents should be notarized?
Since so many loan documents and other paperwork go behind a real estate closing, you might wonder which documents require notarization. One thing to note is that not all documents require notarization. You would require notary services to notarize the following documents:
- Power of Attorney
- Deeds
- Deed of Trust or Mortgage
- Affidavits
Another thing to note is that loan documents, purchase forms, and disclaimers would only require you the signature of the seller and borrower.
Also, remember that the promissory note is a crucial lender document. While it requires the borrower’s signature, you won’t need a notary seal. This document acts as an “I Owe You” (IOU) to the lender and acts as an agreement that the buyer will pay back the money they owe.
What happens if the document isn’t executed correctly?
The signed and the notarized document shows a particular property’s ownership rights. The notary signing agreements would have to be careful and work vigilantly when dealing with the documents for any property.
They must follow and comply with the state’s law to ensure that every document is executed properly. Failure to execute any document correctly can result in cancellations and financial issues.
If the notary signing agent misses the closing date or hasn’t notarized any document properly, then the recorder reserves the right to reject them.
What Else can it do?
It can also take a lot of time and money for the notary or the title company to fix a small error. The title company or the notary might also end up losing the client. It might also lead to severe consequences where the title company or the notary might have to deal with lawsuits or face other financial issues.
Notarize real estate agreements with PandaDoc Notary
Notarizing your real estate documents might be a long and hectic process. It can be challenging to go after real estate agents and find the perfect house, only to discover that you also have to complete the document signing and notarization process from a notary signing agent.
But that is not the case since PandaDoc is here to help you with the notarization process.
You can take advantage of our remote online notarization services, which allow you to notarize all your documents from the comfort of your home.
All you have to do is follow the simple process below, and you can enjoy completing the process to notarize your documents from the comfort of your home:
- Step 1
We will help notaries and clients to connect through online tools. We use various audiovisual technology to ensure no obstacles during real-time meetings. - Step 2
Next, we use identity verification, including personal identification, to ensure the integrity of the notarial transaction.
This is how our overall notarization process works. It allows you to complete the document signing process without being physically present.
You can request our services, and we can help you with each process for your real estate deals.
Why choose the notary services of PandaDoc Notary when purchasing a property?
There are many reasons we stand out from other companies when it comes to getting the documents for your property signed and notarized.
We allow you to pick the timing of your choice for notarizing and signing the documents for your property. This way, you can choose the time that is convenient for you and wouldn’t disrupt your work schedule.
Ease your life with PandaDoc Notary
Whether you want to go through the loan signing process or anything else, it is quick and easy to do through PandaDoc. Lenders or other signers can join through their devices to create documents, add notary stamps, and do other stuff.
Most importantly, our certified notary public meets all the requirements and criteria to become a notary signing agent.
Final thoughts
Buying a house is a dream come true, particularly for first-time owners. It is indeed a big step in your life, and it is vital to have someone who can guide and assist you throughout the process, from loan closing to signature witnessing and every other aspect.
Therefore, taking notary services from a reputable and reliable name like PandaDoc can give you peace of mind.
We will help you with the entire closing process and guide you regarding how to proceed with the entire process to notarize documents for your real estate deal.
So, if you or your family want assistance with remote online notarization, contact us today, and our representatives will be more than happy to assist you.