Attached to 26 pages of addenda. As always, they provide for electronic signatures on their end.
Last week I had one that was 37 pages — all to be submitted with the offer, not after acceptance. That one was four hours of my day spent not showing FannieMae houses.
Obviously, they’re stupid in every possible way, but tying buyer’s agents up with all this paperwork just means that fewer people will see their homes, fewer people will make offers, and FannieMae will get even less money for the real property it mismanages with such exemplary ineptitude.
I have an escrow going on a Fannie REO right now. Everything was originally accepted with electronic sigs, but yesterday they decided that an escrow addendum needed to be original signatures instead of Docusign. My clients don’t have a fax, so I have to go get their signatures in person. Waste of time….
Eighty percent or more of my buyers are out of state. And, of course, the docs always need my signatures, too, with no counterparts. So it’s email, print, sign, fax or scan and email, print again on my end, sign again, then scan and email. All of this for documents no one at FannieMae will ever look twice at.
My favorite, though, are the scans of faxes of photocopies of bogus earnest checks reading “Title Company TBD” — now that’s rain-dancing!
> Would it be possible for us to get a copy of that statement?
It’s just one line in an email from the transaction coordinator on the listing side of a FannieMae-owned home sale. I don’t know that it is a Fannie-wide policy, or just certain listing agents. I’m seeing it more and more, though, along with other very stupid requirements for FannieMae homes.
If you’re going out campaigning, all of Wells Fargo is still stuck at the stage-coach level of technology.
Here’s a fallback rebuttal, if you need it: Everyone can sign over everything at the closing table. Expediting maters before then is to everyone’s interests.
Inlookers: DocuSign will save you tons of time — if the banks let you.
Greg – Interesting. My hypothesis is that it is not a Fannie-wide policy, but the one liner implies that Fannie is the one driving the policy, but there’s no supporting facts or data.
Regarding Wells Fargo, they do accept DocuSign but not every loan officer is aware of the policy. Pushback is necessary – we offer a toolkit on the DocuSign Community (search for “Lender Acceptance Toolkit” on http://community.docusign.com) that contains white papers addressing the major objections of lenders.
We’re always on the lookout for new objections and understanding the situation, so thanks again for sharing!
Umm, has anyone considered the idea that Fannie/Freddie and the other banksters are not stupid, but really really do not need to have their portfolios marked to market with real irrefutable market pricing that would cause the rest of the portfolio to fall below the “regulatory forbearance” threshold?
Since the Fed owns all the crap paper at par, Somebody like Ron Paul just might get to audit the Fed and expose the Ponzi scheme so that even the IMF could not ignore it.
The homes I’m concerned with are already listed, so imputed value is out the window. My guess is they’re just plain stoopid.
Consider this: FreddieMac is actually spending money to semi-untrash its trashed REO inventory. So here’s the house: New carpet, new paint, but zero overhead light fixtures or window treatments. The property is marketed as “First Look,” which means no investor offers for the first fifteen days. Saunter into the kitchen and there it is… no range…
Owner-occupant buyers are all FHA, since they have no cash. They can’t afford new ceiling fans or blinds, but that does not matter because… FHA won’t fund on a house without a range anyway…
So the house sits languishing for 15 long days, at the end of which clueless people assume there must be something wrong with it. And I swoop in with my posse of all-cash investors and pick up a bargain — at your expense.
Why did Freddie pay out even more of your money for new carpet and paint? It wasn’t intentional, but in the end they did it to subsidize my millionaire investor’s entry costs.
In poker, you make your money on the other guy’s mistakes. Fannie and Freddie can sit at my table any time…
Maybe Aunt Fannie and Uncle Freddie are hoarders and just can’t stand letting go of their half off houses. Of course, if they have all this inventory to liquidate, the funds keep a flowing from the thieving Uncles Tim and Ben.
When they say “digital” do they mean Docusign or are they referring to fax, email etc?
Calgary (Alberta Canada) we are a bit behind, the lenders here will not allow Docusign on our contracts because there is not a court president to support the digital signing process. They have indicated that they cannot prove who is signing the document, although if the situation of a fax or email, i am not sure that it is any easier to prove.
Our Canadian lenders vary regarding what they will and will not accept. While we have successfully completed transactions with DocuSign our lenders prefer an actual signed copy that is witnessed. In most cases they will also get us to provide a contract when the existing contract does not meet their requirements.
Crystal, your insight regarding fax and email signatures and the ability to prove who signed the document is interesting.
Are lenders aware of the information that DocuSign offers as part of the signing process?
As an overview, documents signed via DocuSign come with a certificate of completion / audit trail, which provides documentation around the signing event (IP address, time document was opened, time documents were signed, and so forth). In addition, DocuSign also offers multiple authentication options that puts requirements such as providing a password, answering a series of questions, or providing a voiceprint in a phone authentication process.
I can expand in more detail, so let me know if anyone is interested in learning more!
Vicki Lloyd says:
Did Fannie just announce that? Where did you hear it?
April 7, 2011 — 2:36 pm
Greg Swann says:
> Where did you hear it?
Attached to 26 pages of addenda. As always, they provide for electronic signatures on their end.
Last week I had one that was 37 pages — all to be submitted with the offer, not after acceptance. That one was four hours of my day spent not showing FannieMae houses.
Obviously, they’re stupid in every possible way, but tying buyer’s agents up with all this paperwork just means that fewer people will see their homes, fewer people will make offers, and FannieMae will get even less money for the real property it mismanages with such exemplary ineptitude.
April 7, 2011 — 2:42 pm
Lisa Oden says:
Sure this wasn’t an April fools joke, just a little late? Sheesh!
April 7, 2011 — 2:40 pm
Vicki Lloyd says:
I have an escrow going on a Fannie REO right now. Everything was originally accepted with electronic sigs, but yesterday they decided that an escrow addendum needed to be original signatures instead of Docusign. My clients don’t have a fax, so I have to go get their signatures in person. Waste of time….
April 7, 2011 — 2:49 pm
Greg Swann says:
Eighty percent or more of my buyers are out of state. And, of course, the docs always need my signatures, too, with no counterparts. So it’s email, print, sign, fax or scan and email, print again on my end, sign again, then scan and email. All of this for documents no one at FannieMae will ever look twice at.
My favorite, though, are the scans of faxes of photocopies of bogus earnest checks reading “Title Company TBD” — now that’s rain-dancing!
April 7, 2011 — 3:01 pm
An Bui, DocuSign Social Media says:
Greg – thanks for sharing this. Would it be possible for us to get a copy of that statement? We’d like the opportunity to follow up or learn more.
Thanks,
An
April 8, 2011 — 7:55 am
Greg Swann says:
> Would it be possible for us to get a copy of that statement?
It’s just one line in an email from the transaction coordinator on the listing side of a FannieMae-owned home sale. I don’t know that it is a Fannie-wide policy, or just certain listing agents. I’m seeing it more and more, though, along with other very stupid requirements for FannieMae homes.
If you’re going out campaigning, all of Wells Fargo is still stuck at the stage-coach level of technology.
Here’s a fallback rebuttal, if you need it: Everyone can sign over everything at the closing table. Expediting maters before then is to everyone’s interests.
Inlookers: DocuSign will save you tons of time — if the banks let you.
April 8, 2011 — 8:28 am
An Bui, DocuSign Social Media says:
Greg – Interesting. My hypothesis is that it is not a Fannie-wide policy, but the one liner implies that Fannie is the one driving the policy, but there’s no supporting facts or data.
Regarding Wells Fargo, they do accept DocuSign but not every loan officer is aware of the policy. Pushback is necessary – we offer a toolkit on the DocuSign Community (search for “Lender Acceptance Toolkit” on http://community.docusign.com) that contains white papers addressing the major objections of lenders.
We’re always on the lookout for new objections and understanding the situation, so thanks again for sharing!
An
April 8, 2011 — 9:21 am
An Bui, DocuSign Social Media says:
Apologies for yet another comment – I realized that you allow hyperlinking in the comments, so the direct link for the Lender Acceptance Toolkit: http://community.docusign.com/t5/Announcements/DocuSign-Lender-Acceptance-Toolkit/m-p/2601/highlight/true#M6
Hope that helps!
An
April 8, 2011 — 9:29 am
Robert Worthington says:
Al Gore will come up a new plan gang…relax it will all be alright. (smile)
April 9, 2011 — 2:05 pm
Danny Nappi says:
Should we expect anything else? Electronic signatures that makes too much sense let’s scratch it! What a joke.
April 9, 2011 — 7:04 pm
Tom Johnson says:
Umm, has anyone considered the idea that Fannie/Freddie and the other banksters are not stupid, but really really do not need to have their portfolios marked to market with real irrefutable market pricing that would cause the rest of the portfolio to fall below the “regulatory forbearance” threshold?
Since the Fed owns all the crap paper at par, Somebody like Ron Paul just might get to audit the Fed and expose the Ponzi scheme so that even the IMF could not ignore it.
April 11, 2011 — 4:15 pm
Greg Swann says:
The homes I’m concerned with are already listed, so imputed value is out the window. My guess is they’re just plain stoopid.
Consider this: FreddieMac is actually spending money to semi-untrash its trashed REO inventory. So here’s the house: New carpet, new paint, but zero overhead light fixtures or window treatments. The property is marketed as “First Look,” which means no investor offers for the first fifteen days. Saunter into the kitchen and there it is… no range…
Owner-occupant buyers are all FHA, since they have no cash. They can’t afford new ceiling fans or blinds, but that does not matter because… FHA won’t fund on a house without a range anyway…
So the house sits languishing for 15 long days, at the end of which clueless people assume there must be something wrong with it. And I swoop in with my posse of all-cash investors and pick up a bargain — at your expense.
Why did Freddie pay out even more of your money for new carpet and paint? It wasn’t intentional, but in the end they did it to subsidize my millionaire investor’s entry costs.
In poker, you make your money on the other guy’s mistakes. Fannie and Freddie can sit at my table any time…
April 11, 2011 — 7:18 pm
Tom Johnson says:
Maybe Aunt Fannie and Uncle Freddie are hoarders and just can’t stand letting go of their half off houses. Of course, if they have all this inventory to liquidate, the funds keep a flowing from the thieving Uncles Tim and Ben.
April 11, 2011 — 7:33 pm
Crystal Tost says:
When they say “digital” do they mean Docusign or are they referring to fax, email etc?
Calgary (Alberta Canada) we are a bit behind, the lenders here will not allow Docusign on our contracts because there is not a court president to support the digital signing process. They have indicated that they cannot prove who is signing the document, although if the situation of a fax or email, i am not sure that it is any easier to prove.
April 17, 2011 — 9:20 am
Ryan Nemeth says:
Our Canadian lenders vary regarding what they will and will not accept. While we have successfully completed transactions with DocuSign our lenders prefer an actual signed copy that is witnessed. In most cases they will also get us to provide a contract when the existing contract does not meet their requirements.
April 17, 2011 — 10:02 am
An Bui, DocuSign Social Media says:
Crystal, your insight regarding fax and email signatures and the ability to prove who signed the document is interesting.
Are lenders aware of the information that DocuSign offers as part of the signing process?
As an overview, documents signed via DocuSign come with a certificate of completion / audit trail, which provides documentation around the signing event (IP address, time document was opened, time documents were signed, and so forth). In addition, DocuSign also offers multiple authentication options that puts requirements such as providing a password, answering a series of questions, or providing a voiceprint in a phone authentication process.
I can expand in more detail, so let me know if anyone is interested in learning more!
An
April 17, 2011 — 6:38 pm