During a recent audit of Real Estate loans we determined that on a first mortgage for a second home the dates listed on the title policy, deed of trust, promissory note and final TIL disclosure are incorrect by approximately one month. As a result on paper it appears that we funded the loan prior to the signing of documents. Since purchasing the home in August 2010 the member has made all payments as scheduled and has not questioned the dates on their copy of the loan documentation.

Since it has been six months or so since the transaction was completed, is it necessary to draw all new loan documents for the member to execute? Is there an alternative? Thanks!

Are the dates of the signatures not documented? Were none of the signatures notorized?

How could the title policy also contain the wrong dates - that document would have been produced by a third party (title company)?

Somethin' ain't right here............

The signatures are all dated 8/12/2010 and notarized, but the documentation is dated 9/10/2010. I suspect that the documentation was all prepared on 8/10 but somebody fat-fingered the month and nobody caught it.

Then is is obviously a typo, but you still indicated that the title policy was similarly dated?? Anyway, I don't think it is a big deal, but only your legal counsel could advise you.

That would definitely be considered an error that must be corrected here. Secondary would never accept it.

We'd line out and correct the date on the note and do an affidavit of correction for the mortgage. The borrowers would have to initial the note and sign the affidavit. The affidavit would then be recorded. We also put a line on the affidavit that states: Affiant(s) acknowledge that the above error occurred on certain other documents pertaining to this closing. Grantor(s) signature below affirm correction as if it were made to each of the documents signed and dated same day as Mortgage above referenced.

These are very helpful posts, and the comment regarding the secondary market is very appropriate. Thank you!