Signing a Promissory Note for out of state investment

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Signing a Promissory Note for out of state investment

Mehgan Moore
Rental Property Investor · Phoenix, AZ · Member since 2019 · 33 posts · 11 votes

I am looking to purchase an investment property in Ohio and the local lender there is saying I must fly to Ohio to sign the promissory note in person at their bank. This seems really odd to me. I work in the mortgage industry and have never fun into this before. With technology and Covid I feel this should not be required. Had anyone else ran into this before?

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Brandon SturgillBusiness Member
Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
5y

@Mehgan Moore That's a first...all properties I have helped out of state buyers sell or buy were remote closings...its standard. We use a notary verification form our lawyer drafted....the notary in the signers state completes it and it becomes part of the record....it's an added layer of formality. Feel free to reach out if you want a copy...maybe that would help put them at ease....

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  • Zeke Liston
    Real Estate Agent · Columbus, OH · Member since 2018 · 1k+ posts · 1k+ votes
    5y
    Originally posted by @Mehgan Moore:

    I am looking to purchase an investment property in Ohio and the local lender there is saying I must fly to Ohio to sign the promissory note in person at their bank. This seems really odd to me. I work in the mortgage industry and have never fun into this before. With technology and Covid I feel this should not be required. Had anyone else ran into this before?

    All of my OOS clients sign remotely. The bank should be able to send a notary to you. I'm not sure why they're requiring you to sign in Ohio. What bank are you using? 

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  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    5y

    Mobile Notary as mentioned above is what the bank should set up.

    Or have them send them to a title company that knows you and will do a courtesy signing  thats what I do.

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  • Caroline Gerardo
    Lender · Washington DC · Member since 2015 · 2k+ posts · 2k+ votes
    5y

    Strange. Did you provide two forms of identification which are current? Either they question your ID or is their "bank policy" 99.999% of final loan docs are signed with a notary that title has approved and assigns.

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  • Mehgan Moore
    OP
    Rental Property Investor · Phoenix, AZ · Member since 2019 · 33 posts · 11 votes
    5y

    @Zeke Liston Sutton Bank. It's a smaller bank.

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  • Mehgan Moore
    OP
    Rental Property Investor · Phoenix, AZ · Member since 2019 · 33 posts · 11 votes
    5y

    @Jay Hinrichs. Thanks thisbis exactly what I was think it should be.

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  • Mehgan Moore
    OP
    Rental Property Investor · Phoenix, AZ · Member since 2019 · 33 posts · 11 votes
    5y

    @Caroline Gerardo

    This has been said prior to me providing any ID or even really starting the process. I don't want to continue working with them if this will be an issue.

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  • Brandon SturgillBusiness Member
    Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
    5y

    @Mehgan Moore That's a first...all properties I have helped out of state buyers sell or buy were remote closings...its standard. We use a notary verification form our lawyer drafted....the notary in the signers state completes it and it becomes part of the record....it's an added layer of formality. Feel free to reach out if you want a copy...maybe that would help put them at ease....

    937-979-7000
    Realize Multifamily Group11 Review
    View Page
    1Reply
  • Mehgan Moore
    OP
    Rental Property Investor · Phoenix, AZ · Member since 2019 · 33 posts · 11 votes
    5y

    @Brandon Sturgill I would live to take a look at that document, considering you are in Ohio. Thanks!

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  • James G.
    MD · Member since 2018 · 71 posts · 23 votes
    5y

    @Mehgan Moore

    I bought a rental in ohio in December 2020 and we used DocuSign for as much as possible and then a mobile notary for anything that needed a wet signature.

    1Reply
  • Caroline Gerardo
    Lender · Washington DC · Member since 2015 · 2k+ posts · 2k+ votes
    5y

    Sutton Bank is a community bank with 85 employees. RUN. Do not pass go. RUN. They can make their own rules

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