TRID - how does it affect your closing on your home?

Loan Estimate: 3 Days after application, 7+ Days before Closing
Lists estimated loan costs and terms. Saturdays do NOT count.

*If Required* Revised Loan Estimate: 1+ Days before Closing Disclosure, 4+ Days before Closing
Details any revised loan costs and terms if there is a significant change. Saturdays do NOT count.

Closing Disclosure: 3+ Days before Closing
Confirms final loan costs and terms. Saturdays DO count.

Examples of significant changes that could trigger a Revised Loan Estimate include (but are not limited to) setting the rate lock or making any change to the loan type or loan amount.

These disclosures and their required timing exist for your clients' protection. We assure you we will do what we can to get your clients to the closing table on time. If you have questions about the forms or the timetable, please ask. I am here to help.

 

David Sharp
MiMutual Mortgage
Loan Officer
NMLS# 280482
(314) 862-0123 x 4360
dsharp@mimutual.com

www.mimutual.info/dsharp

Changes to HUD - what it means for closings

Currently, the HUD-1 Settlement Statement can be presented to the buyer on the day of closing and any changes to the statement can take place during the loan closing.  Gone are the days of making last minute changes to loans.

The new TILA-RESPA Integrated Disclosure (TRID) rule establishes new forms, which are replacing the standard disclosure forms known as the Good Faith Estimate, Truth in Lending and HUD-1.

These two forms will be joined by a new three day waiting period to close, whereby all contracts and forms must be filled out and correct three days before the close date. Should an amendment or change need to be made, a new three day period kicks in further pushing back the close date.

With these new documents and rules coming soon, we at least have two months to get use to the new system and adjust our current way of thinking for closing.  

Working with the title company when your sell or buy your home.

Working with the title company can be a really good experience or a really bad one.  I have been waiting for commission checks on homes we sold and I called the title company.   The one property they couriered the check yesterday - I was here all day yesterday and no check - I found out that they left it outside my old office - didn't bother to call and say "No one is there, should we leave it?"  The second property they closed on and did not issue us a check at all ..... and they will look into the third one.  Time to change title companies?

I also have another title company that is the worst when it comes to sending me the HUDS (the final closing statement) - I need these HUDS to mark the property as sold on the MLS.  The local MLS gives you 5 days to change status before they can start assessing fines.  I am just keeping my fingers crossed that they don't track me down because I have several properties from this one title company that is 2 months late!

I am happy to say that most of the transactions are smooth ones - but when they mess up it is sometimes a doozy - I have had clients walk out at closing because of the shoddy work of a title company.