El Paso, TX · Member since 2016 · 71 posts · 22 votes
Has anyone here tried an online notary? I'm in the military and had to leave on a deployment with only a day's notice (it's so time to retire!). We were right in the middle of a deal and need a notary to firm up some rehab funding. Unfortunately, there isn't a notary available where I am. Any suggestions?
El Paso, TX · Member since 2016 · 71 posts · 22 votes
9y
@Chris Mason I've heard the same about any of us commissioned guys being able to provide notary services but we are on a small team away from most of the support we usually have available. No one here has a stamp and our nearest administration support is hours away and currently on half day schedule because of the holidays.
I did find two services that provide a notary via webcam. They are Notarize which also has a smartphone app and another called NotaryCam. Both claim to use electronic notary stamps in addition to electronic signatures which is something I use already anyway.
Unfortunately, I'm stuck here for the next couple of months (surprise, cancel Christmas) and everyday that passes is costing me money. Otherwise I would wait until I get back. I guess it could be worth a try. For $25 even if it doesn't work I'm no worse off than when I started.
Point Roberts, WA · Member since 2015 · 102 posts · 18 votes
9y
Online notarization is valid in a couple of states. Most states do not as the risk for fraud is very high. It will be up to the person who decides to accept or reject the notarization. That person has rules to follow. In real estate, that person is often the Recorder at a government office like the county courthouse.
I would contact the Recorder of the county in which the property is located and explain your situation. Ask her/him what is acceptable.
If you are out of the US, you can use a local notary who understands international notary law. You get the document notarized locally then obtain government certificate(s) for it to be used in the US.
If you are in the US, you might be able to pay a notary to drive to you. These are known as mobile notaries. Travel fee usually depends on distance and travel time but the price could be cheaper than the money you are losing due to the deal being delayed. Google notary rotary to find an online directory. The more experienced notaries there are used to driving distances to handle odd situations.
It might be a good idea to have the title/escrow company draw up a single use Power of Attorney for this transaction. You get the PoA notarized then your agent can sign the rest of the documents on your behalf.
Attorney · NJ · Member since 2016 · 1k+ posts · 794 votes
9y
I really have no idea. The concept is foreign to me, but how can there even be an online notary? The whole point of notary acknowledgment is that someone watched you physically put pen to paper. I know there are programs that will "verify" your digital signature, but that wouldn't be recordable in most states or acceptable to a lender, would it? There is no lawyer, or bank, or post office near you? Is it an LLC, or you personally? If it's an LLC or other entity, you can just do a resolution to appoint someone. The Power of Attorney won't work. Same issue because it has to be notarized in order for a clerk to record it, and it usually has to be recorded with a mortgage, deed, etc. Do you already own the property you are rehabbing or buying it?
El Paso, TX · Member since 2016 · 71 posts · 22 votes
9y
Thanks for the replies. I'm out of the country right now and the nearest notary is 4 hours away at the embassy. Given my work schedule and the holidays it makes it tough to plan a trip that far. What we are trying to do is set up some funding for a flip on a house we closed on the morning I left to come here (last second military deployment). We bought the home under our LLC but we need to secure the funding for the flip personally.
I've found Notary Cam and Notarize. Notary Cam has a few more reviews than Notarize and apparently they are building an online closing platform designed for real estate investors. It seems that they have had some success in notarizing real estate documents. I just don't trust reviews and don't know anyone with personal experience notarizing documents via a webcam.
Attorney · NJ · Member since 2016 · 1k+ posts · 794 votes
9y
If you own the home as an LLC then you can't have financing in your own name secured by the property. What documents do you need to have notarized? If it is a personal loan not secured by the real property, and the documents are just for the bank, they may be able to make an exception (depending on the type of loan) considering your circumstances. If it is a mortgage, it would need to be signed by the LLC, not you personally, and then that's easy and can be done by resolution appointing a substitute manager. If it is anything else that needs to be recorded with the clerk to secure the loan, you need an original wet signature and notarization on one document in almost every state, so I'm not sure that online situation would work. Is the property in Texas?
El Paso, TX · Member since 2016 · 71 posts · 22 votes
9y
Yes, the property is in Texas. I'm actually getting funding through my military retirement plan but it requires signatures from both me and my wife. We did the initial funding for the deal through our hard money lender so that's taken care of. For this flip we decided it would cost a lot less to just use money we already had stashed away and essentially pay ourselves back. Uncle Sam put a bit of a monkey wrench in our plans with this last second deployment I'm on. We're going to call a rep with the retirement plan to see if they will accept online notary. The concept seems promising but I think unfortunately it's so new that people would be hesitant to accept it. You go through the usual ID verification but you meet the notary virtually through a webcam and use digital signatures and an electronic notary "stamp". I'll post here tomorrow if we are successful. Maybe it could be useful to other investors that travel quite a bit and have trouble finding an available notary. Fingers crossed.
Attorney · NJ · Member since 2016 · 1k+ posts · 794 votes
9y
Yes, let us know. I'm very curious. You should do a quick POA to your wife for any future needs, too, when you get back. Thank you for your service and good luck!
Real Estate Agent/Property Management · Houston, TX · Member since 2014 · 1k+ posts · 827 votes
9y
Ran into this problem a year ago when closing a deal. If you are in a country that is a signatory of The Hague Apostille Convention, then you can have a local notary or attorney take care of it. Otherwise, you'll need to go to an embassy or consulate.
If you're on a base I can't help but believe that there is someone on the base who is a notary whose seal would be accepted in the US.
Investor · Colorado Springs, CO · Member since 2013 · 643 posts · 280 votes
9y
I am currently overseas. I used an online notary in Virginia earlier this year to purchase a property in Colorado. Everything worked well. It was surprisingly affordable. I look forward to using them again in the future.
I checked with the Title company in Colorado before the closing to make sure it was okay.
Send me a PM if you want to know the online notary that I used.
El Paso, TX · Member since 2016 · 71 posts · 22 votes
9y
Thanks for all the replies. We checked with the agency requiring the notarized documents and they won't accept an online notary. They are requiring that the documentation have a wet signature even if it's just a copy of it. They won't accept digital signatures. Because of the nature of my work, sometimes my deployments are short notice. This was one of those times. I got a call that I had 24 hours to get on a plane. Didn't have time to get a POA for my wife. I'm also not in a country with a notary or attorney that could help and not on a base. Luckily we have a good relationship with the title company and we were able to close just before I went to the airport. The situation I'm in now is to secure funding for the rehab. After having gone through this process of considering online notaries, I'm actually quite surprised it's not a common way of conducting business. Everything about the process with the online notaries I've researched seem very secure and you have to present identification via digital means (scan) and also present it when on webcam. One of the notaries is actually developing an online closing platform for real estate deals. How awesome would that be? Given how much I travel that would be a game changer for us!
Escrow Officer · Denver, CO · Member since 2016 · 64 posts · 27 votes
9y
I would be very careful using an online notary, I am not sure what Title Company Mike used but my company would absolutely not accept a document notarized by an online notary. If you're out of the country you would be required to go to the US embassy. However since this document is not for sale therefore not going through a title company, they may be less strict.