A day before President Clinton signed legislation making electronic signatures legally binding, what is purported to be the first ever paperless, on-line real estate transaction was closed in Provo, Utah.

The landmark electronic settlement involved the refinancing of an existing mortgage on a residential property and took place in iLumin Corp.'s on-line "signing room," a virtual, electronic room in which documents can be securely posted, edited and signed by parties to the transaction.

The system uses iLumin's "Digital Handshake" technology, which enables everything from notarizing legal documents to filing to take place on the Internet.

"This is a great example of how Digital Handshake streamlines, automates and simplifies everyday business transaction processes," said the firm's D. Brent Israelson. "In this case, we brought the parties together in an on-line signing room where they could vew, collaborate and finalize the legally binding documents."

Besides the home owner, Pro-Title & Escrow of Provo, Allied Mortgage, DocuTech, eLoansource, lowRates, Escrowdata, Arcanvs and Digital Signature Trust participated in the transaction.

Also involved were officials from Utah, one of 18 states that have enacted the Uniform Electronic Transactions Act, a law which addresses electronic records and signatures relating to transactions not already governed by other federal commercial law.

Besides Utah, Arizona, California, Florida, Idaho, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Minnesota, Nebraska, Ohio, Oklahoma, Pennsylvania, South Dakota and Virginia signed on to UETA. But several other states have enacted their own rules pertaining to digital signatures.

Published: July 6, 2000

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When Lew Sichelman first started writing about housing in 1969, he was the youngest real estate writer in the country. Now, 37 years later, he's one of the oldest -- and most decorated. He has been rated the top housing columnist in the country by the National Association of Realtors as well as by his peers in the National Association of Real Estate Editors. Indeed, NAREE has recognized his work on numerous occasions. One year - due to his advancing age, he can't recall which one - he earned top honors in the annual NAREE Journalism Contest in three out of the four major writing categories. It was the first time one writer has won so many NAREE awards in a single year. Known for his ability to make even the most difficult topics understandable, Sichelman also has been honored by the National Association of Home Builders and the Mortgage Bankers Association. He began providing in-depth coverage of and consumer-oriented information about housing and housing finance at the Washington Daily News, where he was real estate editor. He held that same position for nine more years at the Washington Star, which purchased the News in 1972. The Star, a so-called "writer's newspaper" which also had the misfortune of being an evening paper, was put out of its misery in 1981, and Sichelman, who had begun self-syndicating his column in 1978, decided to become a full-time columnist. Today, his column, "The Housing Scene," is distributed by United Media to newspapers throughout the country. He also is on the staff of National Mortgage News, an independent newspaper which is considered the bible of the mortgage business. And he writes for numerous other publications, including MarketWatch.com, where he answers readers questions once a week, Sports Illustrated (don't ask), RealtyTimes.com, BigBuilder and others. Sichelman is married, the father of five and grandfather of eleven.