Tag: buying

Closings Continue at Tallgrass Title

At Tallgrass Title, we understand that real estate transactions must continue during the COVID -19 pandemic.  Real estate sales and transactions cannot simply stop because of this serious health scare.  Many contracts for the sale of real estate were signed prior to the global outbreak.  It is doubtful that the contract was contingent on a global pandemic.  Additionally, numerous folks began the refinance process for their home loans.  Without closing within a specified time, loan locks are in danger of expiring.  Therefore, closings continue to take place but with new added precautions and measures to support social distancing and prevent the further spread of the virus.  At the same time, many of these measures have been in place at Tallgrass Title for several years.  The purpose of this post is to share these measures with our customers and how they’re convenient and will save the parties time, pandemic or no pandemic.

  1. Early deed packets mean smooth closings. Having the Seller sign deed packets ahead of closing allows for the Seller to be absent from the closing.  The Sellers can sign their packet in front of a notary at their convenience and simply drop the packet in the drop box at either one of our locations.  The only in-person interaction that a Seller must currently have with another person is signing the deed packet.  However, notaries (as well as TGT staff) are providing ways to prevent spreading the virus further.  We are also offering several different options to assist in social distancing loan closings.  Ask one of our closing agents for options!
  2. Use of electronic signatures. With the growing use of online services, wet-ink signatures are simply not needed for most documents.  Several programs like HelloSign, DocuSign and Dotloop allow for a person to sign from their phone or computer.  Therefore, there is no need to meet face-to-face with a person to execute closing paperwork.  At Tallgrass Title, we routinely offer parties the option to sign settlement statements electronically.
  3. Use of Earnnest for delivery of earnest money. Earnnest is a program much like Venmo, Cash App or PayPal that allows for the instantaneous transfer of earnest money.  Therefore, there is no need for the physical delivery of earnest money to our office.
  4. Wiring of proceeds or delivery to bank. Tallgrass Title offers free wiring of real estate agents’ commission checks. We also offer to wire Seller’s proceeds from their transactions.  Additionally, our free courier service will deliver proceeds or commission checks to any local bank free of charge.  This means that there is no need to pick up a paper check at our office.  Ask your closing agent for details.

Our goal is to make your transaction as smooth and convenient as possible.  This includes in times of uncertainty.  As stated, most of these techniques and measures have been in place before the COVID-19 pandemic so our team is well acquainted and comfortable with their use.  Should you have any questions, our real estate professionals are happy to help. It’s our job!

Accessing Paperless Closer after Closing

With the increased social distancing brought about by the containment of the COVID-19 virus, Tallgrass Title is presenting several solutions for electronic closings.  This week, our closing agent Karissa is presenting how to access Paperless Closer following closing to retrieve any closing documents needed.

Congratulations! Your transaction has closed and managing the final signed docs does not have to be a nightmare. When closing remotely, your biggest concern should not be “how do I get a signed copy?” We can help with that!

All documents that enter our office are uploaded to Paperless Closer and made available online to only the parties who should have access. For example a Buyer’s Realtor will only have access to Buyer specific documents and a Seller’s Realtor will only have access to Seller specific documents. All parties will have access to documents that are not party specific.

Once the transaction is closed we will mark it as such, which in turn clears it out of the Open files list in your Paperless Closer. But don’t worry, you will still have access to all closed, old, and even cancelled orders.

To search files that are not currently open, log into Paperless Closer. In the Lobby, change the Status from Open to the status of your file: i.e. all, canceled, or closed

 

 

 

This will refresh the list of files you can access.

But what if I can’t find the document I need in the list?

The default in the Documents Tab allows you to view ten documents at one time. As seen in the example below, the Displaying items shows 1-10 of 26; you can switch pages using the arrows to the left or clicking on the page number you want.Once you find the document you are looking for in the list of Descriptions click on the button to open in a PDF to print or save.

Our Team here at Tallgrass Title is ready to help keep you organized. Let us keep track of the paperwork so you can focus on helping your clients make their dreams come true.

Tallgrass Title partners with Earnnest!!

In efforts to further assist our buyers, sellers, and realtors, we are pleased to announce our partnership with Earnnest to bring an additional option to your tool kit.

What is Earnnest?

Earnnest is a web app that allows for the electronic and instantaneous transfer of buyer’s earnest money into our Tallgrass Title trust account.  This service eliminates the requirement of delivering a physical check to our office or paying costly wire fees.

Functioning much like Venmo, PayPal, or Cash App, Earnnest is a perfect tool for transactions with out of town buyers, buyers unable to leave work, or for Millennials without check books!

How does it work?

  • The real estate agent or the title company (that’s us) sends a request to the buyer for the value of the earnest money
  • The Buyer gets a text or e-mail notification
  • The Buyer verifies their identity and makes the payment
  • The title company and escrow holder receives the payment instantaneously!
  • Tallgrass Title generates an electronic earnest money receipt for the realtor file.

With the technology of Earnnest in conjunction with electronic signature apps, the contract signing and escrow set up can be fully digital! No one needs to leave their office or their couch.

At Tallgrass Title, our mission is to make your transaction as smooth and easy as possible.  Earnnest is another step we have taken to continue that mission.  We would love to demonstrate further how this new tool works for you! Please give us a call for details or simply request to get started with Earnnest for your next escrow!

Website Security Added at Tallgrass Title

In the digital age that we live, everything is online.  You can shop online, meet people online, even work online.  The internet has made everything from checking the time for a movie to buying groceries faster and more convenient.  However, while it is super convenient, it comes with its own risks.  Cyber crime is at a record high.  We all know how to use the internet, however, not everyone knows how to keep themselves and their information safe online.  At Tallgrass Title, we recognize the need for people to protect themselves and are constantly looking for new ways to protect our clients.  We blog, teach classes, and review online security with our clients.  However, there is always room for improvement, and we are always looking for more ways to be more secure.  We found one.  Our website document sharing portal is now secured with SSL Certificates.  These are Secure Sockets Layer protocol certificates, or SSL Certs.  Secure Sockets Layer is a standard security technology for establishing an encrypted link between a server and a client.  Without the SSL, anything you send out of your computer is in plain text, something that is more easily read.  However, with SSL, instead of sending out plain text, an algorithm is used to determine the secret code in which the email will be sent.  So, to put it simply, we have made communication with our office encrypted.  Technology is constantly growing and evolving, as are the risks that come with using it.  We tell our clients and patrons different ways to be safe online, but now we can say: We are extra safe for you!

MHK Office

 

As most of you know, we recently opened an office in MHK. We had the opportunity to talk a little about our new adventure! Check out the video below!

 

 

HELOCs and Second Mortgages

When most consumers purchase a home, they obtain conventional financing for the purchase.  This often takes the form of a 30-year, fixed rate loan.  In order to secure the loan made to you, the bank files a mortgage with the register of deeds.  This document tells the world that the bank has a first-place lien against the house and if any other creditors file a lien, that lien will be inferior to the first-place loan.  Now, let’s say that the same homeowner would like to make improvements to their home, add a pool or build a garage and would like to borrow additional money to do so.  The homeowner may also want to borrow funds for reasons unrelated to the home such as consolidation of credit card debt, assisting a child with college tuition or a business venture.

So, rather than to refinance the entire home loan and file a new mortgage, etc, to account for the increase in the loan, a bank will often file a second mortgage.  This can also take the form of a home equity line of credit type mortgage (HELOC) which is also usually a second mortgage as well.  The difference is typically the bank will automatically release a second mortgage upon payoff.  With a HELOC, the bank will keep the mortgage filed and the note open to allow a consumer to re-advance funds as needed.  Only upon request of the homeowner will the bank release the mortgage upon payoff.  This saves the costs and expense of making a new loan every time a homeowner wants to borrow funds.

HELOC’s and second mortgages can be obtained with the bank that made the first purchase loan or with a different institution as selected by the homeowner. The bank handling the loan will usually order title insurance to insure that the mortgage is secured against all liens, besides the first place mortgage.  If a consumer with a second place mortgage or HELOC later decides to sell the real estate, the title company simply pays off the second mortgage the same as it pays the first at closing.  The only additional step is to request additional payoff information.  Of course, there are many different types of second mortgages and HELOC’s.  it is a good idea to discuss options with a finance professional.

Here at Tallgrass Title, we deal with second mortgages and HELOCs on a daily basis.  Should you have any questions during your purchase, sale or refinance, feel free to contact our title professionals.  We are here to help, its our job!

Thank you Manhattan!

Last week we officially opened a Manhattan, Kansas office.  This move follows requests from real estate professionals to locate an office to better serve their regional needs.  You asked, we listened!  Our Manhattan office (TGT MHK) is located at 210 N. 4th, Suite A in the Hartford Building.  We are fully staffed Monday – Friday from 8:00 am to 5:00pm and are open over the noon hour.  A drop box is located on the front of the building for after hours drop-offs.  Both the Wamego and Manhattan offices are equipped to deal with closings, escrow deliveries, deed packet deliveries and notary services.  Additionally, TGT MHK will continue to offer free courier service in the Manhattan area as well as mobile closings.  We are here to serve your needs!

At Tallgrass Title, we love feedback about how we may better serve your needs.  Feel free to speak with any of our title experts about your needs as a real estate professional.

The Secret is Out!

Please save the date! Tallgrass Title is opening a new office in Manhattan, and we’re hosting a bash at the Hartford Building on April 18 from 5 to 7 p.m. that we’d like for you to attend.

At Tallgrass Title we know how to throw a great party, so expect more than a typical grand opening. We are excited to meet you and learn more about your needs as a real estate professional.

We’ve heard from many of our customers they’d like for us to open an office in Manhattan, and as your newest neighbors, we want to hear how we can best serve you. In the coming days, look for updates and an invite containing details regarding food, cocktails and music.

The event will be held at our new office located in the Hartford Building located at 210 N. 4th.

We cannot wait to see you there!

Deed Packet Pro Tips

So, what comes next after the signed contract has been delivered to the title company and the title commitment is complete? The Deed Packet!

The number one thing to remember is: EARLY SIGNATURES MEAN SMOOTHER CLOSINGS!

The sooner the completed deed packet is sent back to the title company, the easier it is to complete the pre-closing tasks. For example, the information release allows us to obtain the mortgage payoff quote. The deed and other documents to be recorded must be reviewed to ensure they will meet the county recording requirements.

The second thing to remember is: Let the title company know asap if the seller doesn’t live close by.

If the seller lives some distance away, they may need extra time to ship the completed documents back to us in time for closing.

Here is a breakdown of the most common documents in the Deed Packet:

The Deed. (No kidding, right?)

However, this is the most important document of the bunch. Please ensure that each party signs it in the presence of a notary. As we mentioned in a previous blog, it is also paramount to keep the same original formatting to ensure it is accepted for recording. And, it really makes our job easier if all of the documents are printed single-sided, not double-sided!

The Affidavit as to Debts, Liens and Indemnity.

This is a complicated title for a document that actually has a rather simple purpose. The purpose is for the seller to confirm that there are no other liens that can attach to the real estate. Each party will have to sign in the presence of a notary. However, the important thing to keep in mind are the checkboxes that usually appear on pages 2 and 3. Each of the statements that accompany the checkboxes should be read carefully before being marked off.

The Authorization for Release of Information.

All mortgage holders require that 3rd parties receive authorization from the mortgagors to receive any information from them. Without this document, we can’t prove how much money will be needed to get the mortgage released. It is also important for the seller to fill out the name of the lender, and the account number if they have it. This is because there are certain types of mortgages that don’t have to report to the county when they are sold. It could potentially delay closing if the title company doesn’t know who is actually holding the mortgage.

The 1099 Tax Information Sheet.

Yes, the title company must report most sales to the IRS. Besides the signature lines that are clearly visible at the bottom of the page, there is other information that is needed. Near the top of the page, please guide the seller to fill in their social security or tax ID number(s), their new/forwarding address, and their phone number. We have to mail out a copy of the actual 1099 form to each seller for the next tax year, so a valid mailing address is really, very helpful.

Here at Tallgrass Title, we also include Fraud Warnings to put people on their guard. This is very important to us, since fraud is becoming more common.

These are the documents that are included in most Deed Packets. There may be other documents specific to the transaction, but they usually don’t appear as often. Please feel free to reach out to us if you have any questions about any of the documents you see in the Deed Packet. We are always happy to help and will even send out a notary to meet with your sellers who are in the area!

New Year, No More Mortgage Registration Tax!

In Kansas in years past, mortgage registration tax was charged by the State of Kansas for the filing of a mortgage at the county register of deed’s office. This tax was based upon the size of the mortgage and had to be paid at the time of filing the mortgage.  In the last year of its existence, a residential mortgage in the amount of $100,000 would result in a tax in the amount of $50.00.  As you can see, this amount can quickly multiply on larger mortgages.  Additionally, a filing fee based upon the number of pages to be filed was charged along with the mortgage registration tax.  A standard, thirty-year mortgage typically results in a filing fee of anywhere from $100.00 to $350.00.  These fees will typically show up as financing charges or “closing costs” on a settlement statement.  In my experience, most individuals were not aware of the fees until they reviewed their closing statements.  It was usually a shock for buyers to learn that they had to pay a couple hundred dollars simply to file a document at the register of deeds.

A few years ago, several homeowner, realtor and homebuilding groups lobbied State Legislators for the repeal of the mortgage registration tax. Their efforts were successful, and the tax was phased out over a few years until now.  Beginning on January 1, 2019, mortgage registration tax is no longer charged in Kansas.  This means immediate savings for homebuyers and homeowners that are refinancing their existing loans.  Additionally, the filing fees charged at the register of deeds will not increase in 2019.  Again, this is helpful to the Kansas home buyer and homeowner.  Should you have any questions regarding the repeal of the mortgage registration tax or the current filing fees, feel free to contact Tallgrass Title.