I met with a couple this past week, and our conversation reminded me of an important lesson I learned a few years ago.
They shared that they were dealing with a professional who needed them to sign a rather sensitive document. The person emailed the copy to both clients, and the couple looked at the items needing to be signed on their phones. I think you might be able to see where I am going with this. Let’s dig in and take a peek.
Electronic signatures are relatively new here in Canada for Real Estate brokers. Our industry adopted their use midway through 2015. A quick definition of the use of electronic signatures for Real Estate would be that it is an online platform where an agent can email an agreement of purchase and sale (or any other documents) to a client, and they can, on either a laptop or phone use their mouse or finger to sign the document. It is a very convenient tool when used appropriately. An interesting side note on e-signatures is that the USA has allowed electronic signatures since 2000. In Canada, we were late adopters, stalling their use for 15 years.
It is easy to see the benefits of digital signatures. They allow a client to sign from any location if they have access to email. We have used this platform with clients who have been as far away as India and also locally when it is difficult to meet due to work schedules or even working around their kid’s sports schedule.
The only downside with e-signatures is that when a person is asked to sign a document, and it appears on their mobile device, the small print is very difficult to read. What we do here at Buy Sell Love Durham to avoid any possibility of an error being made is to email the document to the client as a regular email asking the client to review the document before the e-signature is sent for signing.
Once a document has been reviewed, if there are any minor changes during further negotiations, I have not found it necessary to email the entire agreement again if changes are few and easily identified. By doing this you are protecting the Buyer or Seller you are working with and ensuring the transaction proceeds smoothly, with your clients understanding precisely what has been signed.
Looking at e-signatures and how they form legally signed contracts, it is an excellent exercise to identify the security checks put in place to guarantee that the person signing is the one legally allowed to. When a document is sent to a client, it is directed to their email. Once the paper is signed, it is returned to the sender with a time stamp and a location marker, and if requested by the sender, an SMS unique password texted to the signer. In the 8 years of using this technology, I have found it one of the most valuable tools in working with clients. Many of the people we work with have busy lives and are not always available. This platform has made buying or selling a home much easier for our clients.
I remember a few years negotiating with a couple in an attempt to purchase a home. The complication was that it was a Saturday night, with Mr. Buyer in Niagara Falls at a business conference and Mrs. Buyer at home in Clarington with her children. The agent working with the seller was out of town and the Sellers at a cottage. Within a few hours, and with the help of e-signatures we had an accepted agreement. Without this technology there would be no possibly way to get all of the actors together to agree.
This new way of doing business has revolutionized how Real Estate is being sold in Durham Region. As long as the new tools are used with the same attention to detail as sitting down, face to face with an agreement and having a client sign with complete understanding of the paperwork, the process is a fantastic tool.
If you have a any questions about electronic signatures, or if you are looking to buy or sell in Durham Region, I am more than happy to share with you how understanding the benefits of leading edge technologies can help you in your move I can be reached at lindsay@buyselllove.ca or 905-743-5555
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