Working With Kiavi: Settlement Agents

Navigate your closings with ease

Welcome to our FAQ section for Settlement Agents. Here, you’ll find answers to common questions regarding the closing process, from loan funding to disbursement details. Whether you’re determining when a loan will be funded or understanding specific post-closing procedures, this resource is designed to provide you with quick, clear guidance. Get all the information you need to facilitate smooth and efficient transactions for your clients.

Funding FAQs: The loan funding processes

Navigate the specifics of when and how your loans are funded for efficient transaction management.

Please refer to the most-recent RR note. If the workflow shows “recording,” the closing agent has received our funds.

  • External parties: Once the settlement agent confirms the balance and is clear for our wire, we will order the wire (if funding the same day) or pre-order it for the date of funding. Once our wire desk releases the wire, it must process through the banking system, after which it will be received by the settlement agent. Banking institution times can vary, but the process typically takes 1-2 hours.
  • Internal parties: If the loan workflow indicates it is in Recording, the wire has been released. Wires must go through USB and are not instantly sent to CAs.

You have one business day to disburse funds once they are received. If there are compelling circumstances, such as an issue with recording, you can contact us
directly and we may be able to grant a one-day grace period. Otherwise, you will need to return our wire, and we’ll reorder it once approved, or Title can credit the borrower for any days of prepaid interest past that one business day.

You are not permitted to record or disburse funds until your funder has reviewed all necessary documentation (the Kiavi loan package, Warranty Deed, and HUD). If you do not send the required documents within Kiavi’s business hours (ending at 5 p.m. EST), disbursement cannot take place until the following business day.

Payment and fee FAQs: Understanding the financial obligations

Get detailed insights into payment structures, fee assessments, and financial adjustments.

Please check your settlement statement against our funding breakdown as soon as we provide funding approval to ensure that there is a balance before any wires go out. That way, you’ll avoid statement corrections or returned checks/wires.

For all loans, Kiavi’s origination fee, service fee, and construction holdback will be withheld from the wire. If your loan is a rental loan with an appraisal fee due, we will also withhold the appraisal fee.

Page 10 of the closing package includes all lender fees (and broker fees, if applicable).

Impounds are the amount we calculate to pay the taxes and HOI premiums when they are due the following year. These amounts are determined by reviewing
hazard documents from the insurance agent and tax information from the closing agent. Depending on the subsequent due dates, we will determine the number of months to impound to be able to pay the bills in full. The aggregate adjustment is automatically calculated in uniscreen, and reflects the amounts we need to collect at closing from the borrower.

We require the HOI premium to be paid at closing because we set up escrow accounts for the borrower, as they will no longer be directly paying their insurance
agent for their policy. We will pay the annual premium from their escrow account once it is due. Therefore, any amount that is remaining on their current policy would need to be paid at closing.

HOI payments are sent to the insurance agency. Tax payments are sent to the appropriate tax collecting authority (city, county, etc).

Document FAQs: Streamlining documentation requirements

Ensure accuracy and compliance with all necessary documentation for a smooth closing process.

No—all document corrections must be wet-signed. All of the loan documents (the loan package sent by Kiavi, Warranty Deed, and HUD) may be copies, with the exception of a Promissory Note, but they cannot be e-signed.

The easiest way to ensure a smooth closing is to only have the signor sign their signature on all of the documents. If you require a title to be signed, please
ensure the borrower signs with the EXACT title as our documents show (i.e. if our documents show their title as “Managing Member,” please have them sign as such—we would not accept “Manager” or “Member” in this scenario). Borrower titles must match completely for all documents.

The Mortgage/Deed of Trust and Conveyance Deed both need to be recorded. For the Deed of Trust/Mortgage, the actual document plus any relevant riders (e.g. PUD, Condo, Construction Rider), a notary page, and the legal description must be recorded. All of these items will be together in your loan documents, so you’ll just need to add the legal description.

There is no password to open the documents (there is only a password to edit the documents).