By Brett Ellis
A few weeks ago we wrote about 8 things buyers and sellers need to know before August 1. Since then we attended a TRID (TILA-RESPA Integrated Disclosures) class taught by Westcor Land Title Company and we thought we’d bring you new information as it will affect closings this Fall.
The Good Faith Estimate and initial disclosure are being replaced by a Combined Loan Estimate. This disclosure is done upfront. At the end of the loan process there are sweeping changes as well. There will no longer be a HUD-1 closing statement nor the Truth in Lending disclosure. Those are being replaced by a new 5 page single Closing Disclosure form. Ironically, this form will not suffice as a closing statement. Title companies will still need to prepare a 2 page closing statement and there is no set regulation on that.
How New Federal Rules Will Affect Financed Closings After August 1
Let’s get to the issues that will affect closings. There are new rules that require 3 day disclosures to the borrower. This will require the lender to gather information from the title company so they can properly disclose to the buyer. But …read more
Source:: Top Agent