NJ Operations Summary

Licensed Entity:

WFG National Title Insurance Co.

• See Attached HUD Sample for Additional Information

Banking Information

• Bank account -- <<INSERT ACCOUNT #/ROUTING #/BANK NAME>>
• Checks stale dated after -- ___ days of issuance
• Good Funds Law -- $1,000
• Disbursements Requirements -- <<INSERT IF WFG REQUIRES CD?>>
• Special Bank Requirements (IOLTA/IOTA/OTHER or account specific to that state’s funds) -- NO

Escrow/Settlement

• Who can prepare the HUD -- Not restricted
• Who can sign the HUD (EO/LTP/Attorney) -- Not restricted
• Who orders hazard insurance -- Customary -
• When is transaction consummated for new HUDS --
• Record before/after disburse -- Disburse then record
• Filed/restricted escrow rates -- Restricted – see notes below
• Record retention requirements -- 15 years regarding insurability
• Is an attorney involved in the closing -- Attorney close is customary in North NJ;
• Who can handle loan document signing -- Notary is acceptable
• Doc Prep Restrictions -- Attorney must prepare legal documents
• Use Escrow Instructions or not -- No
• Use Estimated HUD or Final -- Final
• Pass-thru charges -- Restricted
• Rates Inclusive or not -- Not inclusive
• Cancellation Fee – Required. N.J. Rate Manual Section 3.1.6: When an application for title insurance is canceled prior to closing or when the proposed transaction is not consummated, the cancellation fee shall be the examination charge plus other charges which have been incurred.
• Up Charging -- Prohibited
• Junk Charges -- Prohibited – listed charges only
• Special HUD Requirements --
• Special Disclosures --
• CPL -- Yes - $75
• UPL Issues -- Doc prep
• Joinder of non-titled spouse -- Yes for refinance
• Survey Required --
  • Purchase – Yes
  • Refinance – No

New Jersey – Fee Restrictions

• Search -- See Examination below. Separate charge can be made for Upper Court Searches, Tax Searches, UCC Searches, etc.
• Examination -- Yes. $100 for one chain for Basic county search, $100 for each additional chain. Can charge more for examinations requiring extraordinary expenditures of time and/or expertise. Can also pass through copy charges. ($45 for second continuation search prior to closing)
• Settlement fee --
  • Settlement with disbursement: $300 Settlement outside of agent's office: additional $25
  • Settlement outside regular business hours: additional $50
  • Settlements longer than 90 minutes: $25 added for each additional hour or fraction thereof
• Settlement without disbursements: $150
  • Outside of office: $175 plus $25 for each hour of travel time and mileage, tolls, parking fees, lodging, etc.
  • Outside regular business hours: $200
  • Greater than 90 minutes: Add $25 for each additional hour
• Wire fees -- Yes. Charge at cost
• Escrow fees -- Yes. Must be written Escrow Agreement. Charge must be reasonable for administering account. – Escrow does not mean settlement; holding funds for an extended period to secure performance or as indemnity.
• Disbursement fee -- See Settlement fee above
• Document preparation -- Not addressed in rate manual
• Courier/overnight fees -- Yes. Charge at cost
• Receipt and printing of documents (lender's package) transmitted electronically -- Yes. $25 for first set and up to a total of $50 for printing additional sets;
• Recording Service fee; Satisfaction/Partial Release Fee; Subordination Fee -- $5 for each instrument to be recorded except for satisfaction pieces. $75 charge for each mortgage satisfied plus recording fee. Subordinations - $35
• Other charges -- $50 to prepare legal description from survey; $25 for issuance of duplicate policy; Except for settlement statement, deed, mortgage, and mortgage note or bond, can charge $.50 per page for first ten pages, $.25 per page for next ten pages and $.10 per page for all pages over twenty.

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Audits

• Required -- No

Recording Process

• E-recording -- County list of e-recording attached
• Record before disbursement -- Disburse first
• Special recording procedure --

Recording/Document Requirements

• Marital Status Stated -- Not required
• Transfer Tax -- Yes
• Mortgage Tax -- No
• Address for grantor/grantee/property --
• Witnesses -- Not required, but customary for the Notary taking the acknowledgment to act as a witness as well.
• Names typed/printed -- Yes
• Prepared by/return to -- Deeds – Prepared by on 1st page w/signature of preparer
• Notary Stamp/requirements -- Attorney can act as notary – no stamp required for attorney
• Parcel or tax index number -- Required in deeds
• Recitation of Consideration --
• Derivation Clause --
• Corporate Signatures/Attestation --
• Ink Color/Font -- Black, 10 pt minimum
• Legal Description -- Must include state, county & municipality in first paragraph
• Margins -- 4” top right corner 1st page
• Other Special Recording: -- Tax forms required for deeds

Document Types

• Conveyance -- Bargain and Sale Deed with covenants against grantor’s acts is typical
• Security Instrument -- Mortgage
• Release -- Satisfaction

Tenancies

• Tenants in Common -- Yes
• Joint Tenants -- Yes
• Tenancy by Entireties -- Yes
• Community Property -- No
• Homestead -- Yes
• Joinder of Non-titled Spouse -- Non titled spouse must join in the deed or mortgage if the PIQ is the principal marital residence. Same for same sex couple joined in a civil union. See: N.J.S.A. 3B:28-3: During life every married individual shall be entitled to joint possession with his spouse of any real property which they occupy jointly as their principal matrimonial residence and to which neither dower nor curtesy applies. One who acquires an estate or interest in real property from an individual whose spouse is entitled to joint possession thereof does so subject to such right of possession, unless such right of possession has been released, extinguished or subordinated by such spouse or has been terminated by order or judgment of a court of competent jurisdiction or otherwise.

Taxes

• Taxes Levied --
• Taxes due -- 2/1, 5/1, 8/1, 11/1
• Delinquent -- 10 days after due date

Commitment/Policy Special Requirements

• Who can sign Commitment/Policy -- NJ Licensed Title Producer N.J.S.A. 11:17A-1.4
• Other --

Payment Customs

Buyer typically pays for owners policy, survey and settlement. Seller pays for the realty transfer and recording fees. However the parties may agree to any alternate arrangements.

Post Closing Requirements

• Recon follow up required --