Bobbi:
I share in your lamentations of the state to which the real estate industry has fallen. The loan documents are often a mess. The borrowers often refuse to sign because of the errors. There are often last minute changes of which the borrowers were not aware. There are computations on the HUD 1 forms that the borrowers do not understand. Often the LO can't be reached to explain questions to the borrowers. All of it is the result of the fragmentation of duties to be performed in the closing process motivated by the desire to maximize profit at the expense of quality. Approximately 10 years ago there were usually only 3 players involved: the lender, the borrower and the attorney. The lenders prepared the loan documents, and they were usually letter perfect. The loan documents were overnighted to the attorney 24 hours in advance of the closing for his review, and there was plenty of time to correct any errors. The borrowers showed up at a convenient time to sign off on the documents, and the deeds/mortgages were recorded within 24 hours at most.
Now the process has been splintered among the lender, title company,signing service, mortgage broker and notary or attorney closer. There is miscommunication...often no communication between the players resulting in no signs, re-signs and/or disenchanted borrowers....all because of the get it done fast, get it done cheap attitude.
The deplorable state of abstracting has been the subject of many posts. It is not necessary to comment any further on it. There does not appear to be any relief in sight.
I do have to applaud the signing agents though in their resistance to pressures on them to reduce their fees. Fortunately they do have more statutory protections to invoke than the abstractors.
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