Follow the Leader: Ken Moyle from DocuSign Leading Real Estate into Faster Transactions

DocuSign Chief Legal Counsel Ken Moyle isn't necessarily a person that many in the industry are familiar with, but without him, real estate transactions would look a lot different today.

We all think of DocuSign as one of the leaders in digital transaction management, but few understand the pioneering efforts that Moyle and DocuSign have led on behalf of REALTORS®, home buyers, and sellers behind the scenes. I recently had the opportunity to speak with Moyle about these efforts and the future of online transactions.

Simplifying FHA Transactions

Over the past few years, the FHA has become a much larger force in the real estate business. As recently as 2010, the FHA lacked a process to handle transactions that were "DocuSigned." It didn't recognize the electronic signature as a safer, more effective, and more transparent way to fulfill the regulatory process.

Moyle spent 18 months educating and discussing policy with FHA representatives, including acting Director of Single Family Vicki Bott and Commissioner David Stevens. Today, REALTORS® are able to electronically sign an FHA transaction due, in large part, to the diligence of Moyle.

You might ask, as I did, how did he position himself so well to be able to have that kind of influence? Like anything, it came with hard work and persistence. Moyle had a leadership role in the National Strategy for Trusted Identities in Cyberspace (NSTIC). The group was formed to help individuals and organizations use secure, efficient, easy-to-use, and interoperable identity credentials to access online services in a manner that promotes confidence, privacy, choice, and innovation.

Moyle also has been involved with the Consumer Financial Protection Bureau (CFPB) mortgage eClosing conversations.

Speeding up Mortgage Pre-Qualification

Moyle didn't stop there, though. He also worked directly with the IRS in moving toward electronically executed tax forms, returns, etc. Moyle spent many years addressing the IRS's concerns about authentication, especially as it relates to the request for a transcript to verify your income via the 4506-T form.

"This form was the long pole in the tent for mortgage origination," Moyle said.

DocuSign conducted a pilot program that put together a lender, a tax payer, and the IRS to execute the program for 4506-T. This successful pilot demonstrated a much simpler way to complete this important form, and it resulted in a change to the IRS policy in 2013.

The policy change has helped speed up the mortgage pre-qualification process. Verification of income now happens in a few days instead of a few weeks. The majority of the largest mortgage lenders today are involved in what is now called the IVES program, or Income Verification Express Service.

Helping Brokerages Secure Loans

Moyle also serves as the Public Policy Chair for ESRA (Electronic Signature and Records Association). This is the premier trade association representing electronic signature and records industry adopters and providers. In this role, he testified to the Small Business Association, advocating for a bill to simplify loans for all small businesses. In my role as a trustee for the National Small Business Association, I applaud this effort. Approximately 80 percent of all real estate brokerages in the U.S. qualify as a small business, according to the U.S. Census Bureau. This work can help make it easier for a brokerage to secure loans for business expansion, equipment purchases, and acquisitions.

Expanding Potential for International Business

Moyle hasn't limited his influence to the United States, however. He is now working around the world to make it easy to process real estate transactions. There are international laws about electronic signatures based on civil law in countries like England, India, Singapore, and Australia. He is working diligently to enact a new identity protocol that would allow agents to work with international buyers from 188 countries around the globe.

The Future of Digital Transaction Management

In DocuSign's work in the real estate industry, it has realized that customers want a complete digital transaction workflow. Moyle tells us that they are working with leaders from the security, financial services, legal, and real estate fields to outline a universal standard that can be used in all elements of the real estate transaction. This idea is being designed to make it easier and faster to close a transaction.

Keep up the great work, DocuSign! The real estate industry needs your help in the drive for solutions that make the processing of a sale faster, simpler, and more profitable.