Posted by Gilda Murray on 3/26/11 6:45pm
Msg #377592

1st and 2nd loan Edocs

Good Afternoon I have a question in general and would like a little input. My "minimum" starting fee for service is $125.00. I have yet to get an assignment for 1st and 2nd loan docs. When ever I do, what percentage should I increase for the 2nd set? For those of you that have executed this service, your input would be greatly appreciated, I value each and everyone's opinion.

Reply by Linda_H/FL on 3/26/11 7:05pm
Msg #377594

Depends on the size of the second package....normally the second mortgages are a bit smaller - if substantially smaller I charge an additional 50% for the second; if it's the same size as the first it means the same printing and time to sign - the only thing missing is the travel - I'd probably charge an additional 60-75% for the second.

JMHO

Reply by Alz on 3/26/11 10:00pm
Msg #377600

I like the information shared. It gives Gilda

a template, i.e. formula to apply to her business to determine if it is a fit for what is to be accomplished.

Reply by Gilda Murray on 3/27/11 12:23am
Msg #377603

Thanks, very informative . I got the message very clear and will be ready to go...

Reply by JanetK_CA on 3/27/11 12:45am
Msg #377606

I agree with Linda H, but I wouldn't worry about it too much. I can't remember the last time I received an assignment with a 2nd loan - unless it was a completely separate property. The way things are going with lender qualifications, I don't think it's too likely to see very many - if any - of those for a good long while. Of course, as I posted in another thread below, things may be different elsewhere, but probably not that much.

What's more likely these days is to see refi's where the few folks who did a piggyback (i.e. 1st and 2nd) who can still manage to qualify for a loan, are now combining them into one and paying off the 2nd. I saw two of those just this week. These were all people with very good incomes. They also both selected shorter term loans (with lower interest rates) so they can pay off their home sooner. Sadly, a very high percentage of folks who took out a first and second to manage to qualify to purchase their home (or pay off credit cards, or whatever they did with the old loans) are now underwater - if they still even own the place. Lots of people who ended up in foreclosure probably had a 1st and 2nd.

Reply by Linda_H/FL on 3/27/11 7:41am
Msg #377609

I remember my last one Janet!!

It was 3.5 years ago - a refi on a property with a second...both loans had a substantial prepayment penalty, but the LO told them on the phone (which I could hear) that there was NO prepayment penalty - when borrower read the prepayment paragraph to him, his response was "Oh, that...no, there won't be a prepayment penalty because you can refinance in 3 years and we'll waive our fees to offset the penalty"....I wanted to faint - they signed!!!

Yes...it's been that long - never see them any more - think people finally got smart.....at least some did.

Reply by supersigner on 3/27/11 3:01pm
Msg #377624



I, too, have not seen aq 1st and 2nd closing in a very long time. Do you find that asking $125 for a closing is working for you? If so, I want to keep my business competitive and would like to hear from other notaries if this is the going rate for e-docs.

Thanks.

Lynn

Reply by Gilda Murray on 3/27/11 4:36pm
Msg #377630

Yes the $125 works well for me. I am signed on with only one company and have been for over a year now. Send in monthly invoice and I stay with them because I know my check will be in the mail on the 15th of each month following the month of service religiously. I don't know what the other notaries standard rates are. I average approx 6 signings per month but for me thats fine. Its a second income which works well with my primary income. Good luck with your business and thanks again to all for your input.

Have a bless week

Reply by Alz on 3/27/11 4:45pm
Msg #377631

The trend has been 1 or more loans versus first and seconds n/m