Posted by Salvador Avalos on 4/28/07 4:01pm
Msg #187774

Was I wrong not to notorize?

I was doing a signing for a borrower who indicated to me, without me asking, that the property was for an investment home. I refused to notarize the occupancy affidavit. Everything I have read on notary law indicates that my commission may be revoked if I knownly notarize a document that is used to commit fraud. Had the borrower not told me I would have notorize, but after he indicated to me that he did not intend to live in the property, I felt it was my duty not to notorize. I still have the opportunity to correct this situation since I do not have to send docs out until Monday. Any advice is welcomed.

Thanks

Reply by Roger_OH on 4/28/07 4:09pm
Msg #187775

Contact the TC or company that hired you on Monday and advise them of the situation.

Reply by PAW on 4/28/07 5:15pm
Msg #187788

What does the occupancy certifcate say?

I have seen many Financial Status and Occupancy Certifications that specifically state "IF" clauses for:

Primary Residence

Second Home

Investment Property


IOW, the occupancy certificate may be correct depending on the circumstances.

This may also be further compounded by the fact that though the ultimate intent is to rent or lease the property, the owner may be willing to hold it as a second or vacation home for a period of one year prior to renting/leasing.

The borrower also may not understand the ramifications of what constitutes an "investment home". A second home may be considered an investment property, though no rents or income will be derived from that home. And the occupancy requirement is merely that the owner has sole control over the occupancy of the home, so he/she/they can occupy the property whenever they wish.

Finally, (not a legal opinion, and based on Florida statutes, policy and procedures), a notary is not responsible for the content of a document. An affidavit is a sworn statement by the signer who swears to the contents. The notarial certificate (a jurat, in this case) is used to certify that the signer is making the statements in the document, under oath. It is not stating that the notary has validated or verified any information or content. Personally, I would have point-blank asked the borrower if he swears that the statements in the document are in fact true and accurate. If he says "yes", then notarize his signature. If he says "no", then obviously you cannot.

Reply by Joe Ewing on 4/28/07 10:10pm
Msg #187819

I am surprised you completed the signing and just refused to notarize that one document. Either it gets signed or the signing get adjourned. But first you should have checked his Deed of Trust to see if it had a Second Home rider attached. If not then the title company/escrow or whom ever you are instructed to contact if something goes wrong should have been called to let them know that the rider was missing. Then adjourned until it gets corrected.

Reply by Yolanda Adams on 4/29/07 2:22pm
Msg #187903

Please read your private messages. Nothing to do with this thread.