Electronic signatures may be the most significant of the several game-changing technologies that have changed the home buying and selling process in the recent decade.
The signing and acceptance of offers, the completion of forms, and the confirmation of conditions and addendums are all made faster and easier through the use of electronic signature platforms and thanks to the ability to easily create a real estate website, which speeds up and simplifies all processes
Electronic signatures have advantages and disadvantages, just like any new technology. It is possible that the convenience of e-signatures may contribute to a perception of their authenticity, or that the signatories were rushed. This might lead to misunderstandings and possibly legal liabilities.
If you understand how the law views e-signatures, you and your clients will benefit. To help you better understand what your clients need to know before signing the contract in the virtual world, we’ll also provide you some insight into what they need to know about your services.
The Advantages of E-Signature
E-signature technology has been increasingly popular in recent years because of its many advantages over traditional signatures. They include:
Level of Consistency
I bet you’ve seen something like this a million times before. At the first visit, when making an offer, or at the closing, customers’ signatures start to vary greatly because they are tired, bored, or just repetitive. Using an electronic signature for real estate, a single, official signature can be used to sign a document or a document bundle. As a result of this regularity, the signature is more trusted.
Quality of Lasting or Remaining Unchanged
As a real estate agent, you are expected to keep meticulous records for years at a time. The use of electronic signatures and filing saves space and is far more reliable than keeping track of every single piece of paper engaged in many transactions, especially when it comes to signing and filing papers. In addition, you won’t have to be concerned about a spilt coffee or accidentally damaging documents. Electronic signatures are always up-to-date, legible, and readily available.
If you’re trying to get a signature from a customer, it can be difficult to find a time that works for everyone. As soon as everyone is ready to sign a document, they can send it electronically to the other agent, saving everyone a lot of time. E-signatures allow this.
Because it allows them to keep the sale moving while they are on the go, agents and brokers in particular will appreciate this ease. With several offers, e-signature can be the difference between your client’s bid being considered and being too little, too late when there is a short deadline.
Right now, the customers are on vacation. Customers who are relocating to the area from another country and are in need of a seat. Couples whose jobs need them to put in lengthy hours at the office. These clients’ signatures can take days to collect. You and your clients can both benefit from e-signature simplicity by reducing stress and speeding up the process.
A platform for electronic transaction management, such as HelloSign, zipLogix, or Form Simplicity, can be integrated with an e-signature platform to streamline every transaction. This means you’ll be able to handle all of the paperwork involved in selling or purchasing a product or service online: document creation and distribution; signatures; and storage.
In order to ensure the authenticity of an electronic signature, there are additional security measures. Serial numbers, data scamming, sim hijacking and timestamps are two examples of this. To make sure that the client is clear about their intentions, they immediately delete their signatures when they’re connected with transaction management systems.
Electronic Signature Legislation
It is readily evident that electronic signatures have a wide range of advantages. New laws governing electronic signatures in legally binding documents have been passed, notwithstanding this.
Federal legislation passed in 2000 called the ESIGN Act (Electronic Signatures in Global and National Commerce) made it possible for electronic signatures to be legally enforceable. Even further restrictions have been placed on the use of document signing software by state legislation.
It was passed and implemented in 47 states and many overseas territories, together with the Uniform Electronic Transactions Act (UETA). ESIGN and UETA aim to accomplish the following:
- Any law that requires a signature can be fulfilled with an electronic signature.
- Courts should be able to accept e-signature agreements.
- The electronic signature on a document should not be a factor in denying it.
The ESIGN Act, as proposed by NAR, would “allow and extend the acceptance of electronic signatures” in the real estate industry.