• Nadlan Capital Group – USA Real Estate Financing for Foreign Nationals and Residents

  Notary vs. Apostille – And When Can Foreign Nationals Use Online Signatures

  Posted by Nadlan Group on April 16 at 22:33

  When working with foreign national investors purchasing or refinancing real estate in the U.S. through DSCR (Debt Service Coverage Ratio) loan programs, questions often arise regarding document execution and validation — specifically, when a notary or apostille is required, and whether documents can be signed electronically.

  Here’s what borrowers need to know.

  🔍 What is a Notary?

  A notary public is a government-authorized official who verifies the identity of the person signing a document, ensures they are signing willingly, and then applies an official stamp or seal.

  Key facts:

  • A notarized signature is often required for loan documents, such as the Note, Deed of Trust or Mortgage, and sometimes the Closing Disclosure (CD).

  • U.S.-based notaries can be used for citizens or foreign nationals physically present in the U.S.

  • Notarizations may also be done remotely via Remote Online Notarization (RON), depending on lender and title company policies.

  🌍 What is an Apostille?

  An apostille is a special form of certification issued under the Hague Convention of 1961 that verifies the legitimacy of a public document (such as a notarized signature) for international use.

  When is an apostille required?

  • If a foreign national borrower signs loan documents outside the U.S., and the documents are notarized by a foreign notary, then an apostille is usually required to validate the foreign notary’s authority.

  • The apostille certifies the notary so that their signature is accepted by U.S. institutions such as the lender, title company, and county recorder.

  📄 Notary vs. Apostille – Key Differences

  Notary:

  • Verifies the identity of the signer

  • Commonly used for documents signed inside the U.S.

  • Required for loan documents like the Note and Mortgage

  • Can be done remotely using Remote Online Notarization (RON), if allowed by the lender and title company

  • Issued by a U.S. state or local government official

  Apostille:

  • Certifies that a foreign notary or official is legitimate and recognized internationally

  • Required when a foreign national signs documents outside the U.S. with a non-U.S. notary

  • Validates the signature for use in the U.S. under the Hague Convention of 1961

  • Must be obtained through the government of the country where the signing occurred

  • Cannot be done electronically — only available through physical, wet-signed notarization

  ✅ Can Foreign Nationals Use Electronic Signatures in DSCR Loans?

  Yes — but with some important limitations.

  Most DSCR lenders do allow electronic signatures on the initial disclosures and non-notarized documents, such as:

  • Loan application (1003)

  • Preliminary loan disclosures

  • Bank statements and personal financial statements

  • Entity documents (LLC, EIN, operating agreement, etc.)

  However, for closing documents, especially:

  • The Note

  • The Mortgage or Deed of Trust

  • The Final Closing Disclosure (CD)

  the signature must typically be:

  1. Wet-signed (hand-signed with ink)

  2. Notarized by an approved notary

  3. Apostilled, if signed outside the U.S. by a foreign notary

  ✨ When Remote Online Notarization (RON) Is Allowed

  Some DSCR lenders allow foreign nationals to complete notarized closings using Remote Online Notarization, but only if:

  • The title company also accepts RON

  • The borrower has valid identification (passport, etc.)

  • The borrower is in a country that does not legally prohibit RON

  • The RON platform is recognized and approved by the lender

  At Nadlan Capital Group, we regularly help coordinate closings using RON platforms — making it easier for foreign borrowers to complete their loans without flying to the U.S.

  📞 Need Help With Your Closing Documents?

  Whether you’re closing from Tel Aviv, Toronto, or Texas — our team at Nadlan Capital Group can walk you through your document requirements step by step, including apostille assistance and remote notary coordination.

  Contact us today:

  • Website: http://www.NadlanCapitalGroup.com

  Nadlan Group replied 3 weeks, 6 days ago 1 Member · 0 Replies

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