I wanted to point out something that I have come across a couple of times during the loan signing events. A majority of the time, it’s the realtors that come forward and take up the role of the witness for the home closings.
Even if they rely significantly on the realtor’s input, it’s important to note that there are conflicts of interest issues about the situation. We recommend having a better understanding of these conflicts.
Real estate agents are the individuals who conduct real estate transactions for the clients, they are the salespeople, the ones who work with tenants and landlords, the managers, those who perform the legal formalities on behalf of their clients and their most frequent phone contacts. This close interaction with the clients is likely to enhance the realtor’s bond with the clients in the sense that they become the likely persons to be called upon to serve as witnesses during the notarization process, either physically or through a remote online notarization platform.

It is a quite usual thing for volunteers to participate in the process, since that way, they can behave voluntarily not only to ask clients the necessary questions but also to do the cover part of the process as well as out of their natural curiosity.
A Conflict of Interest example: Conflict of interest arises when someones private interests are mixed with their professional responsibilities that may lead to a possible transaction or a process most likely being not trustworthy or fair. Realtors, though honorable, professional people, are faced with several unique difficulties if serving as witnesses:
- Financial Rewards: It is possible that the realtors’ incomes can be affected by the successful dealings which encourage their participation in these deals. The element of their personal gain may lead to an unclear and subjective witness statement, thus affecting the notarization process positively.
- Multiple Roles: While it is true that a realtor who plays the role of a witness is also a guide in a process, these aspects may mix up. This situation may lead to their bias and there could be a concern about the intentions of the persons who will sign the papers.
Effective Communication with Realtors: It is essential for notaries to be transparent with estate agents about the notarial process and any potential conflicts of interest in order to avoid any trouble:
- Teaching Moment: Notaries should not wait for real estate agents to come to them but they should be more proactive in discussing the challenges that may lead to the conflict of interest when they sign as a witness. Education is power, and this will enable individuals in the field to choose wisely.
- Suggesting other options: The presence of a conflict situation means that the notary cannot proceed with the process without creating dissatisfaction. However, the notary can suggest other people to be witnesses who do not have a self-interest in the deal.
- Educational Opportunity: Notaries’ responsibility will be to engage proactively with the real estate agents, informing them about the possible conflicts of interest that may arise from the role of the witness. After being informed, realtors will be able to understand their choices.
- Roadmap to a Solution: In cases where the potential conflicts have been identified, notaries should propose names of other witnesses who do not have a stake in the matter.
By approaching the realtor as well as the title company with the situation regarding this conflict of interest, it results in the evidence of your professionalism, and that you are still committed to your integrity role. They will readily accept your endeavor in the light of the fact that you have made them aware of a matter that could possibly disqualify the notarization.
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DISCLAIMER
This information is for general purposes only, not legal advice. Laws governing these matters may change quickly. BlueNotary cannot guarantee that all the information on this site is current or correct. For specific legal questions, consult a local licensed attorney.
Last updated: March 21, 2025