September 29th, 2015 12:08 PM by Rob Robbins
This is an update on the changes that were scheduled for August. The Government backed off the August date and moved it to October 1st, 2015 to allow more time for lenders and title companies to get ready.
What does this mean for you?
I just attended a training seminar to get up to speed myself. The intent of the changes are to protect you from predator lending. It's purpose is to provide you more information in a time frame that gives you time to ask questions and make sure you are comfortable with what you are committing too with your closing and your loan. The lender and title company will be communicating more and earlier before the closing to provide you this information. You will receive the closing information 3 days before closing and the lender will go over it with you at that time. If there are any changes to be made, the 3 days before closing will start over. The lender is accepting more responsibility and liability through this process. Contract to closing time will increase due to this process.
Ultimately, you will be closing the same as before but it will take more days to close.
This will be a learning process for everyone. Some lenders are going to do this better than others. Lenders will be approving title companies and you will not have as many choices as you had before in most cases.
You are still looking for your dream home, getting a loan and closing on your new home. You should expect 40 to 45 days to close initially until we find out how well this works.
The good news is you will be better informed when purchasing a home with a loan.
Rob
