Digital Signature Interest Transfer Agreement Made Easy

Digital signature interest transfer agreement

hi guys Andrea here and today I'm going to show you how to write your first offer so you've been out over the weekend with your clients showing properties and they've seen one that's caught their eye and they're interested in making an offer and you're thinking to yourself great they want to make an offer and you're also thinking to yourself oh no I don't know how to write an offer and that's why you're here watching this video so I'll walk you through it step by step and there are a lot of steps but you'll get used to it and it goes pretty quickly once you get the hang of it but there are a few things that you need before you can actually write up the offer so you'll need some basic information from your clients such as their legal names on how they want their names to appear on the contract and their current address and email because we will be emailing them this contract for them to sign using digital signatures and you're also going to need information about how they're planning to pay for the home will they be using cash which is great when they do or will they be needing financing which is more commonly the case and if they are using financing you'll need to know what type of financing they're going to be using which I have loan you're going to have to know how much they're planning on using for a down payment and you'll have to know if they are going to be needing any help with closing costs and this is all information that you get from them and from their loan officer that you they're using okay so the first thing that you'll do is you'll need to look up the property that they'd like to make an offer on and get some basic information about the property from the MLS so we'll go to the MLS system and for my example today this is the home we're going to be making an offer on 387 cattle baron Park Drive okay and you know you're going to be needing the names of the owners so you can scroll down on this agent report sometimes on the owner name they don't put the owner this person here put Spencer McNally on which is great if there is nothing there or it says C agents it's very easy you can always click on the tax information and it pulls up the tax report and you can get the owners information right here the owners names Spencer and Lauren McNally okay so we've got basic information and we'll keep this up so that we can use this as a reference and we will go to open our zip forms so if you're a new agent this is the first time you're doing this make sure you set up your account for zip forms at wwx real estate comm this is the website for Texas Association of Realtors and if you sign up for your account here your account will be free your zip form will be free your DocuSign will be free it's included in your membership some new agents make the mistake of going here on the MLS and they just see zip forms right away and they click on sign up if you use this one you'll be prompted to pay so save yourself some money that you're already paying for her and sign up through Texas Association of Realtors okay so we'll login to our zip forms and basically it'll be blank when you first get in because you don't have any transactions or anything set up yet so yours is gonna look like this it'll just be blank and we'll be starting a new transaction okay so I'll just click on the new button okay is it a listing a purchase or at least well this is a purchase we're making an offer and it's residential for the name you put in the name of the property the street address cattle baron Park Drive and you can also use the MLS code because when you get to the point when you're a good agent and you have lots of transactions you can actually search for them and if you want to search for them by MLS number then if that's in the title that option is always available to you okay so we'll go ahead and click Save all right and there it is and this is where we will be adding our paperwork for this transaction okay and I always like to start with a cover sheet okay because if you add all the information your clients name address and everything to a cover sheet automatically all that information is transferred to the other contracts any contract that you add to this transaction so you enter it once here and then it's done for all the rest of the contracts okay so let's start out by filling this down and just click on it and it'll open up okay so our buyers name our first buyer is Bobby buyer and I know his street address is 1 2 3 Main Street and it's in Dallas Texas 76123 I know that's not really a ZIP code in Dallas I'm just gonna use it anyway and his email address is buyer at ready real estate calm that's not really really yet but I'm using this email address to show you so that I can show you what as it forms looks like when your client receives it okay and then buyer two is Betty buyer and she has the same address I'm going to leave that blank just to see what happens I'm going to put her email address in though also and it's also buyer at ready real estate because they share an email which many folks do and if they do that's perfectly okay zip forms digital link allows you to send contracts to a same email address okay and the seller name and we remembered let's see there's two sellers so we will add the first one here Spencer Mick nalin and his street address is the address that we're buying drive oh you know what I just thought of something let me show you something even quicker than this we'll go to more and we will say look up no MLS connect that's what I was looking for if you click on MLS connect we will add if you put in your username and password we're let's look this up by MLS ID which I have ok and we'll include the picture and we'll import it and this will save us a step right Oh find we have to hit find first and there it is there's a picture there's all the information so we will import that yes and we'll go ahead and activate that until a copy feature okay so now that should fill out some other information there is the information from the listing broker all of that pulled from the MLS okay saved us some information from saved us some typing okay so I'm still filling out the information about the seller let me add the second seller named Lauren McMillan I have a typo there sits in Fort Worth okay so just basic information that you go through and fill out okay so one thing I've noticed is that the listing agent is the same person as the owner spencer McNall on so i'm going to go back just out of curiosity look at the MLS sheet under private remarks to see if they identified themselves as the agent being the owner and they have not so I'm going to actually pay special attention to that on the sellers disclosure when I received that okay so that's just an interesting little aside but that's normally not something you'll run into so back to the forms okay so we've done the cover sheet alright and we will save this okay so our first document is done now we want to add the wonderful family residential contract so over on this side bar here and you can hide it if you like or pull it back up these are all the forms and there are multiple libraries so there's the library for Metro Tech's library for North Texas real estate information system library for tar which will actually have your listing agreements and library for Trek okay you can select all of them and that way when you do a search it'll search all libraries and let's search a one to four family residential and I know that one by number which is tricked-out 20 - 2 so I'm going to go ahead and pull that one up and it has been added over here so these are where all of your forms will be at it so here it is and look again is it because we filled out all the information on the cover sheet it's automatically filled in on the contract so save yourself some time okay and we'll just go through and fill out the rest of it this information again was pulled from the MLS we're not going to have any exclusions okay this was the part I was telling you about that you need information from sales price what you're going to offer for it this property is listed at 499 nine they've already reduced it we are going to make an offer of 490 okay so you can put in the cash portion so they're going to putting down and the financing which is 392 and that's our offer for 90 all right and we are going to be using this third party financing so we'll need a third party financing addendum correct and this is the amount that we will be financing which is 392 you might be wondering why they are putting such a large amount down that's actually 20% because this is a jumbo loan so it's not your usual you know five percent down okay so moving right along we've already selected everything that has to do here in financing so we'll move on to the next page earnest money and how much do you put down for earnest money rule of thumb was always 1% but since we're representing our buyer we're going to try to get them by with the least amount possible they're offering 390 so we could even just put $2,000 in here and that could be fine it could get countered it's something that is a good place to start so we'll start there and where we are going to deposit our money is with our clan title because they take the best care of our clients and we are representing the buyers and for address we always put remote to your location now that gets kind of confusing for some folks and they're not under there not sure what that means and basically what that means is that as opposed to the olden days where we expected people to time off of work and out of their busy schedules to go to a closing with our clan title the title company comes to them so it's really a matter of putting your money where your mouth is as far as customer service goes I know so many agents talk about the service and the high level of service they provide to their clients using our clan title as one of the ways that you can do that as an agent because you're going to save your client time and money by allowing the title company to go to them wherever they are they don't have to take time off of their work the title company will meet them on their lunch hour the title company will meet them in the evening after their work at their home or at a different location wherever they want for women with small children at home they don't have to worry about getting a babysitter it's just been a fantastic way for us to again provide that extra go that extra mile for our clients so that's what remote to your location means so if you get any questions from a sellers agent what does that mean you can let them know that what that's going to make it easier for their clients as well that our title company will go to wherever their clients are we'll save them time we'll make that agent look like a hero and it's just a very good service for them so that's what that means you can always give them the address later for where we're going to be depositing the title of the option money okay so the next part you need to leave blank because we're not going to be depositing any additional earnest money title policy we'll be at the sellers expense sellers are expecting to pay for that so we'll put an X their title policy will be issued by arc land title okay all right and move along and again these are pretty easy because all we're doing is filling in the blanks right okay much of it is boilerplate here we click will be amended it will be at the expense of the seller okay this is just standard all right we click here and within three days that's just standard where this is going to be a house so for objections we're going to put single-family residential and here we'll put three days okay clicking right along this property is subject to a homeowner's association and how do we know that from the MLS sheet okay if it doesn't have it here it's still up to you to find out especially during the option period but for right now the MLS sheets does have that it is an HOA so we'll be adding the HOA form to this transaction as well you don't have to have it if it is not in an HOA okay so again nothing else on that page moving right along under property conditions we're gonna say buyer has received the notice okay this is the sellers disclosure that I'm talking about we want to say the buyer has received the notice because we want to cover ourselves by making sure that our buyer has seen the sellers disclosure and if we haven't gotten that we're going to get that pretty fast from the seller because we want to make sure our buyer is aware of everything going on with that property we're going to get our buyers to initial it and it's going to become part of the transaction okay so try to always put receive the notice usually the sellers will post it to the MLS and you can download it from there if not you can ask them for a copy of it prior to making an offer that's how many agents do if they for some reason do not have it and you have to select it is not received within a certain amount of days is basically you're just giving a little extra out for your bribe but you want to cover yourself by selecting buyer has received the notice so we'll check that and again moving right along residential service contracts we're going to put five hundred and thirty dollars in here because we know that's how much home warranty of America is more key coverage cost and that's the best we're negotiating for our clients the buyers and so that's what we're going to put there okay closing date let's see usually 30 days is the general rule of thumb so here we are April 24th so let's see when 30 days that would be that's a Sunday so it doesn't work so here we are we're getting into the very last week of the month which is the time when a lot of closings happen because a lot of people get in their mind that they want to have a clean break oh we'll move in at the first of the month but be careful try not to schedule your closing too much at the end of the month because you'll get backed up and things could happen and it could be delayed and it just causes some issues so you're fighting against everybody else that's closing at the end of the week at the end of the month and at the end of the day so try to schedule your closings early in the week early in the month and early in the day if possible and our clan again makes that easier because they'll go to your clients on their on their lunch hours so I can't make it very easy for you so 30 days out was here this is the Monday let's just go ahead and set it for May 25th okay and we will receive it on closing and funding we won't be using a temporary lease special provisions okay we are going to write in let's see I've saved a clause yes okay and you can save that too I'll show you how but we're going to write in on the special provisions pertaining to paragraph 7h residential service contract will include Marquis coverage to be purchased through home warranty of America W WH W a home warranty calm okay this ensures that the home warranty will be purchased through home warranty of America which is the best they've been in business a long time and they service their contracts okay again this is important right here is the amount of closing cost that your buyer is going to need help with and you're only going to know how much that is by talking to the lender so if your buyer needs help from the seller with their closing costs this is where you would put that amount and since our buyer does not need anything we're going ahead and put zero there okay and here we go we can put in information for our buyer to buyer at their address if they have a phone fax here's the email address okay here are where we would add any amendments that are going to be attached to this contract addendum excuse me that are going to be attached to this contract we already know that we're going to need third party financing correct okay we already know we're going to need that this is subject to a homeowner's association okay anything else on here it's we're not getting the buyers temporary lease we're not doing oil and gas we're not doing a short sale if you had a property that would have led base paint this is where you would put it or a sewer system this is where you would put other and you would add which other addendum you're using for this contract okay so we've got everything there move right along option period okay this is where the buyer pays the seller a certain amount of money for the unrestricted rights to terminate that contract at any time during that option period okay so typically try to get away with something you know pretty little here we can we represent the buyer $100 is a standard that could be negotiated but that's something that they'll be likely to take and we'll say seven days and this gives us enough time to make sure we get our inspector in there and find out the condition of the property some agents ask for 10 that gets countered quite often 7 is usually what most end up arriving at so you can you can start with 7 and chances are that you will end up there option fee will be credited to the sales price okay so there's that and moving right along we don't believe these attorneys blank we're not executing it yet the last agents to have the contract and have all the signatures on the contract we'll fill that in and then turn it to title so that is blank ok we'll have to fill out information about the firm for the broker so here we go we are the other broker in this case okay so we are ready real estate and we are representing our buyer as a buyer's agent okay nice and supervisor you put Vaughn's name and this is where your name goes put mine here for now our address okay and it's in there to choose from okay or you can just type it in oops and put your email address here okay where do you get this information from and you should fill it in don't be a lazy agent and leave a blank and allow the other agent to put it in put their information in and you can find it here on the MLS sheet okay so let's go back and it is like Malan Realty Luke and I think he's actually his license supervisor okay here we go and supportin that you put his email address here because we'll be sending the contract to him while we're done okay so our commission is going to be 3% make sure you put a percent here if you just put three it could be what three dollars three nickels you don't know so you didn't have to put three percent of the total sales price okay option fee receipts will be filled in by either the listing agents or the seller and the remaining receipt will be filled in by the title company okay so we have filled out the wonderful family residential contract okay but we know let's go ahead and save that while we're thinking of it that we need the financing addendum third party financing so we'll find that over here and that is six you can search for it by name once you have been working in these for a while you'll start to know the numbers and makes it easier to find so here we go it's filled in already 21 days is usually adequate conventional financing they are financing a total of 392,000 and you get this from the lender okay and it's a 30-year mortgage and origination fees not to exceed one percent okay so if you had other types of financing such as FHA insured Texas Veterans loan VA you would fill out these sections and this is where you will get information you'd need to get the information from the loan officer okay so that's done okay let's save that one and the last one we know that we needed is the addendum for HOA okay so let's look at that one I'm not finding that one let's do it this way okay here we go we'll add that okay and it's filled out and we will say within 14 days and these are just standard date days that I'm putting in this is just kind of like industry standard okay we are going to put $25 here to limit our buyers costs for the fees to be transferred they usually aren't that much but you will just want to make sure that you protect your buyer and we will put here that the seller pay the title company the cost of obtaining any additional information that's it on that page okay so we'll save that one okay now next question is from agents are how do I get my buyers to sign these how do I email them to my buyers do I just email them and then the buyers print them out sign them try to scan them you know the facts I'm back you know the easiest way to do it is to use these signatures so we'll go back here is our transaction remember our cover sheets and you know what I just remembered one thing so let's go back to the cover sheet I think I had put Bobby buyer as my first buyer and I remember now that he wanted to go by his legal name which was Robert so I can change that here on the cover sheet save okay and watch this it will change it on all of the other documents that's why it's kind of important to use the cover sheet see here and it did change it was correct so I'm not going to check these because I know that it is so that's kind of a time saver if you need to make any changes to anything now we're going to use esign which is digital ink so we're going to click on the eastside button okay now you don't have to name our signature that's just optional you're going to select the documents that you need sign so I'm not going to have my buyer sign the cover sheet I'm just gonna have them sign the contract I'm gonna have them sign the third party financing addendum and I'm gonna have them sign the addendum for the HOA okay so you click on the documents that you want sign and we'll click Next okay now this is where you'll select who is going to be receiving them okay Betty and Robert we already have their email addresses in here if you didn't you could add them at this time we'll say done okay so this is the order that they will sign in they both use the same address but they'll sign in this order it's okay that Betty's first doesn't have to be Robert okay so but if you wanted Robert to be first you could just click on him and drag him and now he is signer one okay and then we'll just click Next and the nice thing about digital ink is because it's integrated with zip logics which is the zip forms is that it will already have all of the initial areas in place so watch I'll just scroll down and you'll see that the spots for the initials are already there you don't need to add them if you needed to add something you just click here and drag but because digital ink is a part of this software it makes it very easy that it's already set up for you okay so pretty easy peasy right okay so we just scroll down scroll just to kind of make sure everything is okay to check the other documents you go here I'm not gonna check them all let's just check the HOA just to make sure there's the HOA document we'll scroll and there it is signatures right okay again easy peasy that's it so there they are you hit Send and off they go okay now you can write a little email message you can change this around to make it nice a lot of agents prepare their clients in advance that they're going to be sending them the offer and that we will be using digital signatures because it's easier save some time they won't have to print it out and initial it and your clients will really think you are a hero saving them all the hassle and frustration the agent that can make the transaction seamless and a smooth one for their clients is going to be the agent that gets the referrals okay so we will hit Send now and it's gone poof okay the transaction was started and it is sent to your clients okay so all you have to do is sit back and wait for your clients to sign but you might be wondering what does it look like from your clients end okay this is what it looks like on your end and you can see that action is still required ok I'll close that just to show you where to find it again okay so we've already sent this out we're waiting for signatures you can always get to your transaction let's go back or cancel okay Oh was I gonna show you let me see well okay I was going to show you what it looks like from your clients end so we'll go here this is that your clients email let's pretend like this is your clients email okay and let's see if they've received anything yet from from you oh and they have okay so document is ready we'll click on that and there's the little message and again you could have written something better dear Robert buyer and this is what'll happen when they click on this link so they'll click on it and it will open up and they will be able to sign they'll have to consent to legal signature so that hit accept next they'll have to enter a signing password and they will actually these people have already used it before so your clients will have to create a password and then they'll be able to choose a signature okay and for Robert buyer let's do the Go button and see what happens we'll see actually let's do this let's let me review first so if someone wants to review them they said let me review they click on let me review and they click the next and it Scrolls to where they need to click to initial ok and they can just kind of scroll along and you can see they get a little progress bar up here and you can kind of coach your clients through this now that you know what it looks like on there and is they just click to sign click to initial that was the financing and then there's the HOA click to sign and they're done so they will finish ok and you'll get a notification at your zip forms and also once the first one is signed the next party look Betty buyer she's ready to sign so we'll review and you know on hers I wanted to do the other ones let's let's go back here let's see if she got an email okay so Robert got a thank you for submitting his e-signature here's an email for Betty okay dear Betty so we'll click on this this is what it looks like and it'll open up and she'll have to log in as well she have to accept God she'll have to create a password if she does not already have one she has one and if she didn't again she just creates a password then she'll select a signature click the next button now this is what I wanted to show you the difference if she selects go watch this it's just quick boom boom boom boom boom click the sign click to initial click to sign click to sign and that's it she signed that contract in less than I mean 10 seconds right ok so that's great news once she does that you'll actually get an email to your account showing you that your buyer has signed the contracts you can also check on your transactions ok you'll get a new folder and the new folder has the contracts with the signatures on it so you can open this folder and these will be PDFs these are the signed documents these are signed by your buyers excuse me buyers and you're ready to send these off to the seller so these are signed you want to send the offer to the listing agent correct ok so you just click the send button you're going to select the documents that you want to send ok you're going to send by email and we're going to select his address from the transaction contacts ok the listing agent right save subject offer for 387 cattle baron we'll send them as separate pdfs you can make a little note here hi Spencer or Spencer please see attached offer we look forward to hearing from you as soon as possible okay and you can write whatever you want to hear and then once that's done and you're ready to hit Send all you do is hit Send here I'm not going to hit Send because I'm not really sending this offer to Spencer McNally but that's it that's done so once you've done that you've written your first offer you've used digital signatures to send to your clients your clients have sent it back to you you've seen how they are stored in your digital folder here and now you know how to send them off to the listing agents so well done hope it gets accepted and wish you good luck so that's it for now and until next time