Maine Spotlight

Spring 2017

Maine SPOTLIGHT As we see 2016 disappearing into our rearview mirror, we are looking forward to what 2017 will bring. While we are busy planning for this year, it’s always a good time to reflect on the last twelve months! TRID continued to be a hot topic last year for our agents and us. We facilitated many educational offerings to agents, REALTORS® and lenders throughout the state. Carrie Cote, Maine Senior Underwriting Counsel, is our northern New England point person on this issue and she will continue to keep you apprised of any updates and changes as they occur. In addition to Carrie, Ruth Dillingham develops and presents educational programs for agents and their employees to keep them informed of new developments in lending, compliance and conveyancing practices and regulations. Ruth was promoted in 2016 to Senior Underwriting Counsel for our Corporate Underwriting Department, and in her new role, provides a national perspective on compliance and regulatory topics.

Page

1 2-3

In This Issue Introduction from Lori Rice On the Road with Regional Counsel

Robin’s Top 5 Underwriting Questions

Helpful Sites

Reminder: A Negotiated Rate Quote is Not a High Liability Authorization

First American Title Sponsors a Panel Discussion and Social Hour at Maine School of Law

Save the Dates

We added two new employees to the Maine office in 2016. Jeanne Yestramski joined us in March as Administrative Assistant and Gina Jacques joined us in October as Underwriting Assistant. We are so glad to have them both as part of our team! An updated contact list is included in this newsletter for your records.

Update to Eagle Construction Exceptions

Make Sure You Are Using the Updated 1099-S

On the educational front, we held a variety of roundtable meetings throughout the state and hosted our Annual Agent Seminars in October in Bangor and South Portland. Cyber fraud education was a high priority item for us, as we witnessed new scams being discovered on a regular basis. In addition to the email bulletins we’ve distributed to agents, we also have many resources available to our agents to educate their staff and customers about cyber fraud. First American Title held an event at the University of Maine Law School in November that was very successful due to the support of our agents and the persistence of our staff. The challenge of many industries, including ours, is how to educate and encourage millennials about the career possibilities related to the title and settlement business. The Law School event was a great first step! As we plan for our 2017 educational events, we welcome your input and feedback to ensure we are providing valuable and timely information for you and your staff.

Making a Lender’s Report Card Work for You

AgentNet® - Easily Reset Passwords and Obtain Forgotten User IDs

First American: Financial Position of an Industry Leader

12 12 13 14

Did You Know? Coming Soon News Brief Maine Contact List

We are very appreciative of your business and thank you for choosing First American Title as your underwriter. We look forward to working with you in 2017! Lori Rice, VP, Area Manager - Maine, New Hampshire and Vermont The information contained in this document was prepared by First American Title Insurance Company (“FATICO”) for informational purposes only and does not constitute legal advice. FATICO is not a law firm and this information is not intended to be legal advice. Readers should not act upon this without seeking advice from professional advisers. First American Title Insurance Company makes no express or implied warranty respecting the information presented and assumes no responsibility for errors or omissions. First American, the eagle logo, First American Title, and firstam.com are registered trademarks or trademarks of First American Financial Corporation and/or its affiliates. ©2017 First American Financial Corporation and/or its affiliates. All rights reserved. NYSE: FAF

ON THE ROAD

WITH REGIONAL COUNSEL By: Carol E. Willoughby, VP, New England Regional Counsel, First American Title

As Regional Counsel, I have the unique opportunity to have involvement in the goings on of each of our six New England States, and to liaison with other Regions and Divisions within First American Title, as well as Home Office. To say that our Company is diverse and far-reaching is an understatement. Narrowing things down a tad, I will chat a bit about a couple issues we are all dealing with. First, I’ll briefly discuss an enhancement to AgentNet® that will hopefully prove useful to you and the Company – linked requests for underwriting in excess of an agent’s issuing limit. Second, I’ll discuss what I see as possibly our most important industry challenge – cybersecurity. AgentNet has a direct link to your favorite First American Title underwriter, by which you can request underwriting assistance, including approval for those deals in excess of your issuing contract authority. We’ve had this functionality for a while, but it has recently been improved to flatten out the request submission – fewer clicks and more intuitive communication. In addition, use of this function connects the policy jacket you create in AgentNet to the underwriter’s actual approval of the deal. Because the approval is tied to the policy jacket, and obtained prior to closing, this documents that you are working within the issuing contract. I encourage you to try this functionality in AgentNet, and provide feedback. For training on use of this functionality, contact your Agency Representative, or select the User Guides tab in AgentNet and choose Create New Underwriting Request found under Training Videos.

And now for the big topic of the day: Cybersecurity. One of our most important challenges our industry faces is cybersecurity. First American Title and its agents hold large sums of other peoples’ money, and a large amount of customers’ non-public personal information. We are each obligated to safeguard those funds and that data. On a weekly basis, if not more frequently, I am presented with a story of misdirected funds or an electronic hack into data. With respect to funds misdirection, sometimes the buyer has been tricked into sending purchase proceeds to a fraudster, sometimes the settlement agent has been tricked into sending seller proceeds or payoff funds to a fraudster. Sometimes, the root of the hack, enabling the fraudster to penetrate the communication circle is a Gmail or other open type email account. Sometimes, I hear about an agent’s network being ransomed, the malware having been set when an employee was surfing or shopping on line. No matter the nature of the hack, who is the source of the hack, or who has responded fatally to the fraudster’s email, all parties to affected transactions are in for some difficult conversations. In the case of misdirected funds in response to a fraudster’s email, the funds are seldom fully recovered. If the settlement agent, or an employee thereof, sent the funds in response to a fraudster’s email, the settlement agent’s professional liability policy does not always provide coverage. The agent, whose network has been held hostage, is paying the ransom. The customer data that has been compromised results in years of credit monitoring and reporting expenses. First American Title has sent out numerous advisories to its agents counseling caution in these situations. But there are a few consistent takeaways. I’ll identify the big five I’ve been taught – with emphasis on #1 and #5. Cont. on next page

First American Title | Maine Spotlight | Spring 2017

Page 2

ON THE ROAD WITH REGIONAL COUNSEL

Never, ever disburse funds based on an email. When I say “never” - I mean the type of never we use when we refer to jumping from an airplane without a certified parachute. Never. AB-SO-LUTE-LY NEVER! Why? Because the probability of completely stopping all hacks is a little like the odds of winning the Powerball jackpot. But if we NEVER disburse funds on an email – the risk of misdirected funds based on a fraudster’s email disappears. I know of more than one agent that only wires funds based on an in-person, signed direction.

We should always and only use dedicated hardware for banking. Why dedicated hardware? When you or your employee surf the internet, you unwittingly bring back malware bugs. If you only use dedicated hardware, that is not networked, to do your banking – then you are far less likely to let a fraudster into your banking business.

No one person should be in the position of being unchecked. This is nothing new. We’ve long preached that no one person be able to wire or transmit funds without the approval of another person.

We should all use multi-factor/complex logins whenever possible, change our passwords regularly, and never save passwords to a given website. Use of simple passwords, or single level authentication, or not changing passwords regularly, or saving passwords on the applicable website for ease – each pose a significant risk. There are

First American Title | Maine Spotlight | Spring 2017

CONT.

software products readily available to break such passwords, and these have long been used with great success by criminals. Use of 12-character passwords, comprised of letters, numbers and special characters are far more difficult to break than the typical eight letter word. Multi-factor authentication, which refers to the use of more than one password, further complicates the ability to hack. Multi-factor authentication is common with the use of a password and an additional method of authentication – such as the thumb print to access your Starbucks app on your iPhone. If your customers are logging into your system to interface with you, consider multi-factor authentication.

Finally, and perhaps most importantly, be insured against these types of cyber-crimes. We’ve already discussed the near inability to stop all cybersecurity breaches. A cybersecurity incident can invoke different types of losses; loss of funds through misdirection due to a fraudster’s email, loss arising from the unauthorized access of customers’ non-public personal information, or loss from extortion in the context of ransomware. Often these losses are not covered by E&O or other professional liability type coverage. Cybercrime and cyber liability insurances are available to assist our agents and their customers in such instances. While these products are available from a variety of providers, First American Property & Casualty Insurance Agency, Inc. offers products that speak to these types of losses as well. I encourage you to evaluate your existing coverages against these types of losses immediately. And with that bit of insight, I’m off on the road again.

Page 3

ROBIN’S TOP 5

UNDERWRITING QUESTIONS

By: Robin D. Watts, Esq., Maine State Counsel, First American Title

I have been asked to issue a loan policy for a mortgage on a property that is already owned by the borrower. The property is not currently encumbered by a mortgage. Does the refinance/ non-purchase rate apply to the loan policy? Yes. The First American Refinance/ Non-Purchase Rate applies to any loan policy where the loan proceeds are being used for any purpose other than the financing of the acquisition of the property in a concurrent purchase transaction. If the borrower already owns the property, the loan funds are not being used for the acquisition of the property. Therefore, the Refinance/ Non-Purchase Rate will apply to the calculation of the loan policy premium.

I have been asked to insure property that was the subject of a mortgage foreclosure. After the foreclosure judgment was entered, but before the foreclosure sale, the plaintiff in the foreclosure action (“Lender A”) assigned the mortgage to a different entity (“Lender B”). Lender B then completed the foreclosure sale and was the high bidder. Lender B executed a foreclosure sale deed to itself. There is no court order substituting parties or authorizing Lender B to hold the foreclosure sale. Is this title insurable without an exception for this issue? Probably not. While there is some disagreement among attorneys about the effect of a post-judgment Assignment of Mortgage in a foreclosure action, First American Title generally requires that the Plaintiff in the foreclosure action obtain an Order from the Court which acknowledges the Assignment of Mortgage and authorizes the assignee to hold the foreclosure sale, execute the foreclosure sale deed, and file the Report of Sale. However, the facts will vary from transaction to transaction

and there may be circumstances under which First American Title could insure without an exception. For example, some foreclosure attorneys have begun to address the possibility of a postjudgment Assignment of Mortgage by including sufficient recitations in the foreclosure judgment to authorize the assignee of a post-judgment Assignment of Mortgage to hold the foreclosure sale and complete the foreclosure. In this situation, First American Title may be willing to insure clear title without any further Court Order. Contact an underwriter in the Maine State Office to review the facts of your particular transaction.

I have been asked to insure title to a property that was owned by a husband and wife, but was set aside to the wife pursuant to a divorce decree. Before the abstract of the divorce decree was recorded in the registry of deeds, a writ of exectuion was recorded against the husband. Do I need to take an exception for the writ of execution? Yes. The Divorce Decree conveyed the title from the Husband to the Wife. However, since neither the Divorce Decree nor the Abstract of the Divorce Decree were recorded at the Registry of Deeds prior to the recording of the Writ of Execution, there was no constructive notice of that transfer of title. Therefore, the Writ of Execution creates an encumbrance on the title.

I have been asked to issue an owner policy and loan policy for a transaction in which the seller is the trustee of a trust. The trustee is not able to attend the closing and has executed a power of attorney appointing an agent to act on his behalf. May I insure title if the deed is signed using a power of attorney? Maybe. Generally speaking, a fiduciary, such as a trustee, cannot make a general

First American Title | Maine Spotlight | Spring 2017

delegation of authority to a third party. However, a fiduciary may have limited authority to delegate specific tasks to third parties. Under the Maine Uniform Trust Code, a trustee has limited authority to delegate certain duties and powers to an agent. See, 18-B MRS § 807. Therefore, First American Title would be willing to insure title based upon this power of attorney under the following circumstances: • the power of attorney is nondurable; • the power of attorney is transaction specific; • the power of attorney makes it clear that the grant of authority to the agent is from the trustee in his capacity as trustee, rather his individual capacity; and • the power of attorney is executed by the trustee in his capacity as trustee.

I am issuing an ALTA Owner Policy in the amount of $300,000 and an ALTA Loan Policy in the amount of $350,000. How do I calculate the premium for the loan policy when the amount of insurance for the Loan Policy exceeds the amount of the Owner Policy? When the amount of the Loan Policy exceeds the amount of the Owner Policy, calculate the rate for the Owner Policy at the applicable rate, charge the applicable simultaneous premium rate for the Loan Policy, and then charge the full Loan Policy rate on that portion of the Loan Policy amount which exceeds the Owner Policy amount. Note: If a negotiated rate applies to the policy amounts, the rate for the Loan Policy overage may also be negotiated. With the amounts recited above, the premium would be calculated as follows: Owner Policy = $300,000/$1000 x $3.00 = $900.00 Loan Policy = $50 Simultaneous Rate + $50,000/$1000 x $.175 ($87.50) = $137.50 Total Premium = $1037.50

Page 4

H E L PF U L S IT ES First American Title has a number of online resources available to our agents. Here are a few sites to visit for training information, marketing materials and industry information.

AgentNet® (https://agency.myfirstam.com): AgentNet isn’t just for obtaining back title policies and closing protection letters. »» Content Library: You can find training materials, webinar recordings, the Maine Procedures Manual by performing a search in the Content Library. »» Pass-Thru Marketing Program: More than 100 professionally designed marketing pieces that you can customize with your logo and contact information! Select Pass-Thru Marketing Program from the Agent Resource Center tab. »» Discownts: As a First American Title agent (or an employee of the agent), you are eligible to sign up for discount plans with 30+ vendors through the discownts.com link found under Helpful Links tab. »» TARA Resource Center: If you’re looking for training on our TARA program, visit the TARA Resource Center found under the Helpful Links tab. If you’d like more information about what is available in AgentNet, please contact your sales representative. First American Home Ownership Information Center: If you’re looking for information about owner’s title insurance, this site provides a wealth of informative and easy-to-understand materials to answer your customers’ questions and guide them through the title and closing process. Feel free to share this public site with your business partners and customers: http://firstam.com/ownership. The First American Economic Center provides economic insights and research about the real estate market and mortgage risk. Follow the economic blog for the latest information: http://firstam.com/economics/.

REMINDER : A N E GOT IAT E D R AT E Q U OTE I S N O T A H I G H L I A B I L I T Y A U T H O R I Z AT I O N By: Robin D. Watts, Esq., Maine State Counsel, First American Title

First American Title premium rates must be filed with the Maine Bureau of Insurance. However, when the amount of insurance for a policy is one million dollars or greater, a discount on the policy premium rate may be negotiated within certain parameters. First American Title agents may contact an underwriter in the Maine State Office to request this discounted negotiated rate. Please keep in mind that when an underwriter provides a negotiated rate, this does not mean the underwriter has authorized the issuance of the commitment and policy. If the amount of liability under the commitment and policy to be issued exceeds the agent’s contract liability limit, the agent must also obtain a high liability authorization before issuing the commitment and policy.

First American Title | Maine Spotlight | Spring 2017

Page 5

First American Title Sponsors a Panel Discussion and Social Hour at Maine School of Law Students and Agents Make Connections! By: Carrie B. Cote, Esq., Maine Senior Underwriting Counsel, First American Title

In November, First American Title partnered with the law school’s Career Services Office to spark some enthusiasm for the practice of real estate law in Maine. The evening started out with a panel discussion of attorneys from varying backgrounds, all practicing some form of real estate law in Maine. Law students in attendance listened to each attorney’s account of what it’s like to practice real estate law in Maine. Although each attorney’s journey was different – a common theme arose – real estate attorneys are a pretty good group of people to work with! In addition to the panelists, several of our Maine agents attending showed their support by participating in the panel discussions and staying to enjoy refreshments with students after the formal dialogue had concluded. This was the first event of its kind for First American Title and we were so pleased at not only the enthusiasm of the students but the support of our Maine agents. This is exactly the result we were hoping for, and since November we have had several meetings with the law school Career Services Office to foster an ongoing partnership. Together, our goal is to create an interest in the practice of real estate law by offering additional student education and promoting connections between students and the real estate law community. We are in the process of creating a Lunch N’ Learn series for students who are interested in learning title abstracting, residential real estate closings, the basics of title insurance and more about the foundations of practicing real estate law in Maine. There is also the opportunity to work with the law clinic and its students to share practice tips when real estate matters intersect with the needs of a client. For any attorneys interested in making a connection with the law school and its students, please call 207.774.6884 to reach out to me or Robin at our office. We may have some upcoming opportunities. If you have a work experience opportunity for a law student, please contact the law school’s Career Services Office at 207.780.4889.

Save the Dates SUPPORT STAFF ROUNDTABLES – BEYOND BASICS WEDNESDAY, APRIL 12TH

WEDNESDAY, MAY 3RD

THURSDAY, MAY 11TH

Husson University - Southern Maine Campus 340 County Road, Westbrook, ME 04092

Augusta Civic Center 76 Community Drive, Augusta, ME 04330

Bangor Public Library 145 Harlow Street, Bangor, ME 04401

AGENT CLE SEMINARS WEDNESDAY, OCTOBER 18TH

THURSDAY, OCTOBER 19TH

Hilton Garden Inn 250 Haskell Road, Bangor, ME 04401

DoubleTree by Hilton 363 Maine Mall Road, South Portland, ME 04106

First American Title | Maine Spotlight | Spring 2017

Page 6

UPDATE TO EAGLE CONSTRUCTION EXCEPTIONS By: Ashley Bourassa, Agency Representative, First American Title

When the Eagle policies were updated in 2010, the jackets were modified. Paragraphs referencing certain construction language were modified, moved, replaced, etc. Once they were released, we sent a memo to all agents asking them to correct the construction loan exceptions language in their software. It has recently come to our attention that not all offices made the necessary changes, and are therefore referencing incorrect paragraphs. Please see below for the proper construction exception language and make the necessary change as soon as possible. You have the ability to edit your own requirements and exceptions in TARA, SoftPro, E-Closing, etc., so First American Title does not modify them when performing updates. If you have any questions, please feel free to contact Ashley Bourassa.

Construction Exception - EAGLE Loan Policy “Notwithstanding the insuring provisions of this policy, “COVERED RISKS” enumerated in Paragraphs 2(c), 11, 13, 14, 16, 17, 18, 20, 23 and 24, the ALTA Form 8.1-06 Endorsement (Environmental Protection Lien), and the ALTA Form 9.3-06 Endorsement (Restrictions, Encroachments, Minerals) are deleted from this policy. This policy does not provide coverage for loss or damage as the result of claims based on Paragraphs 2(c), 11, 13, 14, 16, 17, 18, 20, 23 and 24, the ALTA Form 8.1-06 Endorsement (Environmental Protection Lien) and the ALTA Form 9.3-06 Endorsement (Restrictions, Encroachments, Minerals).”

Construction Exception - EAGLE Owner Policy “Notwithstanding the insuring provisions of this policy, “COVERED RISKS” enumerated in Paragraphs 8(e), 11 (to the extent that it insures actual pedestrian and vehicular access), 16, 18, 19, 20, 21, 22, 23, 24, 25, 28 and 31 are deleted from this policy. This policy does not provide coverage for loss or damage as the result of claims based on Paragraphs 8(e), 11 (to the extent that it insures actual pedestrian and vehicular access), 16, 18, 19, 20, 21, 22, 23, 24, 25, 28 and 31. Upon completion of construction this exception shall automatically be deleted upon receipt of the following: 1. A Maine Residential Mechanics’ Liens and Persons in Possession Affidavit; 2. An Owner’s and Contractor’s Affidavit; 3. A Satisfactory Mortgage Loan Inspection of the property showing, at least, the footprint of all constructed improvements with proper certification to the lender and First American Title Insurance Company; and 4. A Certificate of Occupancy or comparable document from the municipality.”

First American Title | Maine Spotlight | Spring 2017

Page 7

Make Sure You Are Using the Updated 1099-S Title agents and attorneys closing certain reportable transactions could face fines of $250 per incident if they are not using the updated IRS Form 1099-S. The new 1099-S form went into effect Jan. 1 and added a new checkbox to report the transfer of real estate by a foreign person. The IRS has provided instructions for the 1099-S, which is used to ensure that sellers report the full amount of capital gains on each year’s tax return. The penalty for filing an incorrect form is $250 per failure and up to $3 million per calendar year. Penalties can be reduced if the correct 1099-S is filed before certain dates. Title agents and attorneys will want to ensure their title production software has been updated with the new form. Generally, transactions must be reported that consist in whole or in part of the sale or exchange for money, indebtedness, property or services of any present or future ownership interest in any of the following:

1. Improved or unimproved land, including air space 2. Inherently permanent structures, including any residential, commercial or industrial building 3. A condominium unit and its appurtenant fixtures and common elements, including land 4. Stock in a cooperative housing corporation 5. Any non-contingent interest in standing timber The following is a list of transactions that are exempt from being reported: • If the seller certifies that the sale price is for $250,000 or less and the property is for their principal residence • If the “transferor” (seller) is a corporation or a government unit • Any transaction that is not a sale or exchange including a bequest, a gift and a financing or refinancing that is not related to the acquisition of real estate • A transfer in full or partial satisfaction of a debt secured by the property. This includes a foreclosure, a transfer in lieu of foreclosure or an abandonment • If the total money, services and property received is less than $600

First American Title | Maine Spotlight | Spring 2017

Page 8

Making a Lender’s Report Card

WORK FOR YOU By: Ruth Dillingham, VP, Senior Underwriting Counsel – Corporate Underwriting

Most of us recall getting report cards with a mixture of excitement and dread. Excitement if we really enjoyed the learning experience, mastered the topic and felt a bond with the teacher; dread if the class was tough, the material was murky, and the grade had to be at or above some level. Of course, school report cards are behind us now. But we are beginning to see a reemergence of them in our professional careers as lenders are sharing their objective analysis of their settlement agent/title agent business partners in the form of a scorecard. For many title and closing professionals, this scorecard produces conflicting emotions and some anxiety. Conflicting emotions because in general, we love to do closings, we are confident that our title work is firstrate and our staff is well trained. So we expect a ‘good grade.’ But then, what happens? The scorecard arrives, and we learn we haven’t met the lender’s expectations. And, we need a good grade to keep getting work from this client. So how can this blend of excitement and dread be turned into a positive experience? At a recent American Land Title Association (ALTA) seminar, industry experts gave some guidance on that topic. First, find out exactly what benchmarks the lender is using to score your firm. Is it turn times on the title policy? Accuracy of the recording fees? A post-closing customer satisfaction survey? Number of days postclosing for the return of the closed file? If these items are not the ones you consider the most important part of your role in the transaction, at least recognize their importance to the lender. Just as we caution the kids not to get lost in how many little people are in the diorama of the first Thanksgiving or the use of elaborate costuming effects in the presentation on Shakespeare’s Taming of the Shrew, keep an eye on the purpose of the exercise. (Which I will presume to be understanding the importance of a fairly successful first harvest and discussing the roles of men and women in other societies contrasted with today.) If your lender is

First American Title | Maine Spotlight | Spring 2017

not scoring you on how many hours you spent tracking down an undischarged mortgage or that you drove 10 miles out of your way to notarize documents for a stay-athome parent with a sick child; do not be upset that those acts are not recognized. You know you did your job and then some. But, make sure you are watching the things that are rated on the scorecard carefully. Second, ask the lender about the components on the scorecard. Which office keeps sending title policies in late? Is there a certain file that was an outlier last month and skewed the whole process? If the scorecard doesn’t lay all this out, ask who can explain the underlying information, and then have a conversation with them. Needless to say, this is not a time for saber rattling; this conversation is intended to improve mutual relations. Third, use the scorecard as a management tool. In your firm, who receives the email with the scorecard? An office manager? The paralegal who does most of that bank’s work? Or worst case scenario, is the scorecard being sent to the email address of a former employee who hasn’t been purged from the system? The scorecard should go right to the boss. Once the scorecard is in the right hands, use it to improve your firm’s performance. Communicate with the right employees about what the scorecard shows. Find out why there are deficiencies, if they exist. Do some training. Consider an incentive program to reward improvements over time. Finally, stay abreast of the challenges your lenders are facing. If they send a newsletter or other communication, read it. Be alert to what they are telling you are their concerns and be prepared to work with the lender to resolve them. If they are telling their closing agents too many files are coming back without a [space] between the words “Title – Service” on the Closing Disclosure, go check your software and make sure you are not a culprit, regardless of how you feel about a federal agency dictating grammar rules.

Page 9

AgentNet

ÂŽ

Easily Reset Passwords and Obtain Forgotten User IDs A recent enhancement to AgentNet enables users to change their password and obtain forgotten User IDs without having to contact the Agency Service Center (ASC) for assistance. Retrieve Forgotten Password From the login page, click I Forgot My Password. Enter your User ID, click Submit, and a security question will appear for you to answer. When you answer the security question correctly, a temporary password will be emailed to you.

Retrieve Forgotten User ID From the login page, click I Forgot My User ID. An email containing your User ID will be sent to the email address on file.

Change Password Select the Profile tab from the AgentNet home page. Select Change Password at the bottom of the page. You will be prompted to enter your current password then create and confirm your new password. Note: Passwords need to be reset every 365 days.

Note: An AgentNet account will be locked after five unsuccessful attempts to enter a password. If you do get locked out, contact the Agency Service Center at 866.701.3361 for assistance.

First American Title | Maine Spotlight | Spring 2017

Page 10

Billions

$6.2 $5.7

$5.6B

REVENUE CAGR: 7.85%

$5.2

$5.1B

$4.7 $4.2 $3.7

$3.8B

INVESTMENTS CAGR: 14.23%

$3.2 $2.7

$2.6B

$2.2

2011

First American Title | Maine Spotlight | Spring 2017

2012

2013

2014

2015

2016

Page 11

DID YOU KNOW By: Ashley Bourassa, Agency Representative, First American Title

TARA Users: If you are looking for a Notice of Availability (NOA) for an owner only policy, you do not use the Notice of Availability button. Instead, once you calculate the premium in the commitment screen, the premium will automatically go to the Notice of Availability-Owner Only form in the Documents tab. Using the NOA button requires you to enter a lender policy to calculate the additional premium for an owner. Procedures Manual: The Maine Procedures Manual can be found online. If you have access to AgentNet® and need to either update your manual or reference a chapter, you can search the Content Library to locate the entire procedures manual. • Enter procedures manual in the Content Library search field and then click Search. • Refine your search results by selecting Maine from the menu on the left and then selecting Underwriting Rates & Manuals. • The Maine Procedures Manual chapters will be displayed on the right and you may sort them alphabetically or by date.

SoftPro® Users: The First American Title forms package is normally updated every few months. If you notice glitches in your forms, you may want to check for an updated version. You can see which version you have by looking at the right-hand side of the package with the date referenced next to our name. The most recent forms package is dated November 2, 2016. If you have an older version, please reach out to SoftPro or me for instructions on how to perform the update. You can also set notifications to receive an email when the package is updated in the future.

Be on the lookout for a monthly email, Dear Underwriter. This informative email will be a quick and fun way to provide regular underwriting tips and answer some of the underwriting questions posed to First American Title during the previous month. Don’t worry; answers will be shared without revealing the source of the question or any details about the transaction. If you have any suggested topics, please feel free to email them to underwrite.me@firstam.com. First American Title | Maine Spotlight | Spring 2017

Page 12

Residential

Commercial

HOUSELOGIC HELPS HOMEOWNERS GET THE MOST FROM FILING THEIR TAXES

COMMERCIAL REAL ESTATE OUTLOOK: 2017.Q1

After all the paperwork that comes with buying a home, few think about the ultimate paperwork – filing taxes. However being a homeowner comes with many benefits, including the opportunity for an increased tax refund. By: National Association of REALTORS®, Press Release, February 24, 2017 Read more: http://www.prnewswire.com/news-releases/houselogic-helpshomeowners-get-the-most-from-filing-their-taxes-300413311.html

TOP AMENITIES FOR 2017, FROM MILLENNIALS TO BOOMERS

There is a lot of talk about what Millennials want in multifamily amenities—and it usually involves speed, ease and the latest technology—but of course, they are not the only ones to consider this year. By: Cindy Wick, Multi-Housing News, February 17, 2017 Read more: https://www.multihousingnews.com/post/top-amenities-for-2017-frommillennials-to-boomers/

CROOKS, LIKE BORROWERS, FLOCK TO ONLINE LENDERS

Speed and ease of use have made online lenders increasingly popular with consumers, but those same qualities have put them in fraudsters’ cross hairs. By: Bryan Yurcan, American Banker, February 15, 2017 Read more: https://www.americanbanker.com/news/crooks-like-borrowers-flock-toonline-lenders

LIMITED INVENTORY MEANS QUICK SALES FOR HOMEOWNERS

There is good news for people who want to sell their homes this month. By: Sandra Lane, MReport, February 23, 2017 Read more: http://www.themreport.com/headline/02-23-2017/limited-inventorymeans-quick-sales-home-owners

WHAT THREATENS YOUR CLOSINGS THE MOST

NAR’s latest Commercial Real Estate Outlook offers overall projections for four major commercial sectors and analyzes quarterly data in the office, industrial, retail and multifamily markets. By: National Association of REALTORS®, February 23, 2017 Read more: https://www.nar.realtor/reports/commercial-real-estate-outlook

LANDLORD SUES AIRBNB IN SPAT OVER SUBLETTING

One of the nation’s largest owners and operators of apartment homes is trying to halt Airbnb listings of its units. By: Daily Real Estate News, REALTOR®Mag, February 21, 2017 Read more: http://realtormag.realtor.org/daily-news/2017/02/21/landlord-sues-airbnb-inspat-over-subletting

RISING HOME PRICES FREEZING OUT SOME INVESTORS

Real-estate investors carried housing and distressed markets through the Great Recession, but their success could spur the rental boom and higher home prices at the expense of critical homebuyer groups, a new report has found. By: Ryan Schuette, DSNews, February 24, 2017 Read more: http://www.dsnews.com/news/02-24-2017/rising-home-prices-freezing-investors

INCREASED EMPLOYMENT, PENT UP DEMAND DRIVING DEVELOPMENT IN U.S. MIDWEST

In an unusual shift, jobs in the Chicago area are moving where the talent is rather than the other way around: companies are relocating from the suburbs to downtown seeking to attract millennial workers and spurring the development of multifamily and office projects in the city. By: Mike Sheridan, Urban Land Institute, February, 24, 2017 Read more: http://urbanland.uli.org/development-business/special-section-midwest-3/

SIX KEYS TO DESIGNING & DEVELOPING A DYNAMIC COMMERCIAL REAL ESTATE WEBSITE

The majority of contracts settle on time, but more than a quarter of practitioners are citing delays due to common culprits.

Your commercial real estate website is the digital front door to your business, and if location is the key to the commercial real estate business, then technology is the key to a successful commercial real estate website.

By: Daily Real Estate News, National Association of REALTORS®, February 24, 2017 Read more: http://realtormag.realtor.org/daily-news/2017/02/24/what-threatensyour-closings-most

By: ML Jordan. February 24, 2017 Read more: https://mljordan.com/6-keys-designing-developing-dynamic-commercialreal-estate-website/

First American Title | Maine Spotlight | Spring 2017

Page 13

M A I N E contact list

PHONE AND FA X TOLL-FREE: LOCAL: FAX:

800.834.1165 207.774.6884 714.913.6782

MAILING ADDRESS First American Title 707 Sable Oaks Drive, Suite 370 South Portland, ME 04106-2325

LORI A. RICE

CARRIE B. COTE

AREA MANAGER - ME, NH & VT

SENIOR UNDERWRITING COUNSEL

D: 207.228.7903 C: 207.650.3194 lrice@firstam.com

D: 207.228.7901 C: 207.233.9094 ccote@firstam.com

ASHLEY BOURASSA OFFICE HOURS

AGENCY REPRESENTATIVE

8:30am-5:00pm Monday-Friday

D: 207.228.7910 C: 207.400.9506 abourassa@firstam.com

GINA JACQUES

MAINE UNDERWRITING ASSISTANT

D: 207.228.7907 gjacques@firstam.com

WEBSITES National: www.firstam.com Maine Specific: www.firstam.com/title/ME AgentNet : https://agency.myfirstam.com Â®

First American Title | Maine Spotlight | Spring 2017

ROBIN D. WATTS STATE COUNSEL

JEANNE YESTRAMSKI

D: 207.228.7902 C: 207.650.3193 rdwatts@firstam.com

D: 207.228.7904 jyestramski@firstam.com

ADMINISTRATIVE ASSISTANT

Page 14