A mortgage is one of the most significant transactions you will undertake in your life. It enables you to purchase a property with the help of a long term loan, with the property itself serving as the collateral for the loan. However, to ensure the validity of the transaction and the rights of all parties, a notary certificate is needed for the mortgage, commonly referred to in legal jargon as a “power of attorney for a mortgage”. As a lawyer and a notary with experience of more than 30 years in the legal world, I fully understand the importance of presenting the bank with a notarial power of attorney during mortgage approval process. This is a critical step in the process of purchasing a property, and I am here to help you understand its significance and the entire process.
The Substance and Nature of Notary Certificates for Mortgages
The notary certificate for a mortgage is, in effect, the signing on an irrevocable power of attorney before a notary. This is a very important legal documents granting the bank with the power to carry out legal acts, related to the mortgage in your name. You may wonder why is this so important. Indeed, the reason is simple: The bank gives you a large sum of money, and in consideration it needs the security that it can act quickly and efficiently if, heavens forbid, you encounter difficulties in repaying the loan.
The Stages in the Mortgage Notary Certification Process at the Office of Frank Mayers Advocate & Notary
When you come to my office for a notary certificate for your mortgage, I strictly adhere to a number of stages:
- Accurate identification: Firstly, I ascertain your identity with your identity card. It is important to note: For certification of a mortgage of an Israeli resident or citizen, they must identify themselves solely with the aid of an id card, and an id card alone. The banks and the system need this instrument to reduce the changes of fraud and forgery.
- A comprehensive explanation: I explain to you what the power of attorney on which you are signing is, and what its legal consequences are.
- Ascertaining understanding: I make sure that you have fully understood the implications of signing on the document.
- Signing: Only after I am persuaded that everything is clear to you, do you sign on the The document before me.
- The Certification: Finally, I certify the document with my notary stamp and signature.
Moreover, the notary keeps a copy of the certificate and makes the necessary record in his notarial books. This process, in all of its stages, is intended to guarantee the legality and validity of the notary certificate for your mortgage and to protect your legal rights throughout.
Why is a Notary Certificate Needed for a Mortgage?
You may wonder why a notary certificate is need to receive a mortgage from the bank. The reason lies in the importance and complexity of land transactions. The legislature has promulgated, in Section 20 of the Notaries Law, that a power of attorney for the execution of land transactions requiring registration, including mortgages, needs to be signed before a notary. This is needed to guarantee the authenticity of the document, to prevent forgeries and to ensure that the signees fully understand the significance of their act.
The Powers Granted to the Mortgage Bank in the Power of Attorney
When you sign on a notarial power of attorney for a mortgage, you grant the bank with a number of important powers:
- The Registration of Caveat (Warning Note): The bank can register a caveat on the property, preventing the execution of conflicting transactions.
- Registration of the Charge: The bank obtains the right to register a charge on the property in its favour.
- Land Registry Office (Tabu) Registration: The bank can carry out various acts in your name.
- The sale of the property where necessary: In the extreme case of not complying with the repayments, the bank can turn to receivership proceedings.
It is important to stress: Even though this might sound scary, there is no reason to worry. So long as you comply with the mortgage payments, the bank should not exercise these powers.
My Gold Tip:
Always read the document carefully and thoroughly before signing. Don’t hesitate to ask questions if something is not clear to you. Remember, there is no such thing as a stupid question when talking about such a significant and large transaction.
In Summary
Choosing the law offices of Frank Mayers, Advocate & Notary for the obtaining of the notary certificate for the mortgage, guarantees you professional and reliable services. With experience of more than 30 years in law and 20 years in the providing of legal translations, I offer you extensive and comprehensive expertise in the field. My office specializes in high-quality legal and notarial translations, including certificates of translation and certificates authenticating signatures. I am committed to clear time tables and compliance with the tariffs as set out by law. Accordingly, clients who choose to use my services for the issuance of a notarial power of attorney for a mortgage benefit from a sense of security and peace of mind. I will be glad to assist you in the notarial certification process required for obtaining your mortgage.
Contact me today to ensure the success of your real estate transaction.
Questions and Answers
Is a Separate Notary Certificate Needed for Each of One of the Couple when Taking a Joint Mortgage?
No. Usually the bank agrees to have both of the couple sign on the same document – jointly and severally. It is important that each one of the signees understand the significance of the document and sign on it of their own free will.
What Happens If I Do Not Have an ID Card? For Israeli Residents
Although I can prepare the notary certificate, however with an id card the bank and/or the Land Registry Office (Tabu) will not accept and will not register the power of attorney. I recommend taking steps to obtain a new identification document as soon as possible to prevent delays in the mortgage process.
Is it Possible to Alter the Wording of the Power of Attorney?
For the most part the wording of the power of attorney is rigid and is determined by the bank. However, if you have any questions or concerns about the wording, I would be happy to go over the document with you and explain each section.
What happens if I sign a notarized power of attorney for a mortgage and then regret it?
It is important to understand that a notarial power of attorney for a mortgage is irrevocable. That is to say that after the signing, it is not possible to unilaterally cancel it. At the same time, you might be able to reach an agreement with the bank for its cancellation. This, of course, depends on the circumstances of the matter. This is another reason why it is so important to understand the significances before signing.How Much Does it Cost? As of 1.1.2025 the cost of certifying one signee is NIS 193 + VAT and two signees on the same document will cost NIS 268 + VAT.
