A new way to pay for closing due diligence

PropPay

What is PropPay?

PropPay is a tool that allows the consumer to pay PropLogix directly for their searches so that you, as the title agent, never need to be involved in collecting payment, reporting cancels or reconciling accounts payable.

 
 

What are the benefits to PropPay & why would I want to use it?

PropPay will keep title agents from having to pass through fees on the closing statement. These orders get started right away, speeding up the process, and resulting in quicker turnaround times. This will make your clients lives a lot easier since they will no longer have the hassle of writing checks to HOAs and municipalities. 

Super impressed with PropLogix service for title companies! They stay ahead of trends and look for ways to help title companies any way they can. Type of company that does more than they are paid for. Awesome.
- Kyle Hart, Bright Light Title


New Payment Options from PropLogix

payment-method

Prop-Pre-Pay

Collect money from buyer/seller prior to starting the report.

search (3)

Prop-Pay

Start the reports ASAP, collect money from the buyer/seller prior to delivery.

invoice

Bill Me

We will send you an invoice when we deliver your report.

Download: Email Templates for Educating Realtors


Communications to Educate Realtors on new Payment Option (no mention of DFS guidelines)Educate Realtors on new Payment Option


How to deal with the new florida dfs guidelines on third-party vendor fees


PropPay FAQ

What is PropPay?

PropPay is a tool that allows the consumer to pay PropLogix directly for their searches so that you, as the title agent, never need to be involved in collecting payment, reporting cancels or reconciling accounts payable.

What are the benefits to PropPay, and why would I want to use it?

  • PropPay clients receive a flat rate

  • PropPay orders get started right away

  • No more checks to HOAs

  • No more floating fees

  • No more calling the buyer or seller to ensure payment is sent to the HOA or municipality

  • PropPay will keep you from having to pass through fees on the closing statement

How will this change my process when ordering through PropLogix?

It should not change your process much at all. If anything, you can place your Municipal Lien Search orders sooner if they are prepaid with PropPay, meaning you get it back sooner. As long as you order through the PropLogix application, you will see payment options on the order review page. You can choose to have the buyer or seller prepay before we start the order, pay after we start the order but prior to delivery, or have us invoice you directly after (this is how it’s currently done).

How can I communicate this change with my clients (Realtors and Consumers)?

We understand that pre-paying for these services is a change and your clients may have questions as to why. On this webpage we have provided an email template to help you message this change to your Realtors. 

Like an appraisal, survey, or home inspection, a municipal lien search is important real estate due diligence that will uncover potential financial issues. The party responsible for payment is typically included in the Contract for Sale and Purchase.

Can I use PropPay through my closing software integration?

Not at this time, but we are working on a solution.

You can still order your Municipal Lien Search through your preferred closing software. However, you will need to alert your Client Success Manager that you want the file paid via PropPay. Alternatively, you may place orders through the PropLogix platform and choose the appropriate payment method required for that file.

Is there a benefit to the buyer or seller to pre-pay for searches?

Municipal Lien Search orders prepaid with PropPay will be offered at a flat rate, which will vary depending on the municipality. We are able to offer a flat rate because PropPay orders are not cancelable.  

How much will municipal lien searches cost with PropPay?

When ordering with the PropPay option, a flat rate will be applied to the search depending on the location of the property. Since we have processed over ½ million orders, we have determined with 99% accuracy what the typical cost would be for the search.

All municipalities have a fee associated within our system. The fees range from zero to hundreds of dollars depending on the governing municipality of the property to be researched. The flat rate includes our processing fee and the municipality fee. If our system under bids the job, the difference will be on us.  We will never go back to your buyer or seller asking for more money.

What about cancellations with Prop Pay orders?

If a buyer or seller pre-pays for an order using PropPay, they will not be able to cancel.

Because this is a flat rate, we aren’t allowing cancels or refunds. The discounted pre-payment rate is for work that is completed regardless if the deal closes. All prepaid orders are non-refundable.  

Does this flat fee cover updates?

No. This fee applies to a single transaction. If an update is placed, that will require additional fees.

If using PropPay, how do the buyers and sellers prepay?

When using the PropPay option, buyers and sellers will be able to pay for their Municipal Lien Searches upfront via Credit Card. Estoppels and surveys will also be available for easy payment for the buyer or seller via this automated process soon.

If prepaid, will the search still be sent to us to review?

Yes, you will receive the finished report even if it's been prepaid. When the report is finished it will be sent to both parties simultaneously. If any issues are found during the research period like open permits or code violations, you’ll still receive email alerts according to your current preferences in order to resolve those issues before closing.

If a Municipal Lien Search is ordered using PropPay and the designated party doesn’t pay within 2-3 days, will the search be delayed? Or held until payment is received?

When using PropPay, there are two options. Upon your request, we can start the report right away (PropPay) or delay research until payment is received (PropPrePay). While it is our policy with PropPay that we receive payment prior to releasing the report we’re committed to being flexible with our clients and finding solutions that are conducive to streamlining and simplifying your workflow.

How does PropPay ensure timely delivery in order to meet contractual deadlines related to the Title Commitment, which may include a municipal lien search?

If you select standard PropPay, we will be starting the order immediately, however, we will need to receive payment prior to delivering the final report. If there is a potential issue with timely delivery, you may alert us and your Client Success Manager can convert the file to the “Bill Me” option.

When you place an order with us, you will still determine the “need by” date and list the closing date. Based on those dates we will continue gather the requested research to meet your need by date. We promise that you will continue to get our dedication to you and your business and the highest level of service.

Where is PropPay available?

Currently, PropPay is only available for Municipal Lien Searches in the state of Florida.

What PropLogix services can you use PropPay for?

At this time, PropPay is only available for Municipal Lien Searches, but we are working on making it work for Estoppels and Surveys next.

When you start offering PropPay for Estoppels, will you front the money in order to get started? What if there are two or more HOA Estoppels needed?

With this system we’ll put that money up to get started on the estoppel while requesting the seller to pay before closing. We will front the money to ensure the work gets done in a timely fashion.

What if I typically order a Municipal Lien Search and an Estoppel at the same time?

You are still able to order them both at the same time, but PropPay will only be available for Municipal Lien Searches. Our ordering platform will give you the option to send a payment request to the responsible party (buyer or seller) for the Municipal Lien Search, and the Estoppel order will be submitted like it always has been.

 

 

DFS FAQ

What is the DFS saying now regarding third-party fees? 

Feb 6th: The DFS released a statement stating that you could not pass through third-party fees as a separate line item. 

Feb 13th: The DFS took their statement completely off their website 

Feb 14th: The DFS updated their statement, and it is now clear that they are supporting the notion that third-party fees CAN in fact be itemized separately on the closing statement as long as the consumer has been made aware.