Mortgage Disclosure Laws 2015

Updated Mortgage Disclosure Laws For Buyers

New laws could slow down your mortgage loan home-buying process.

From October 3rd, 2015, home buyers applying for a mortgage will receive new rate and fee quote forms from lenders. The disclosures, TILA-RESPA Integrated Disclosures (or TRID), will ease the process of understanding the rate and fees from lenders, though it will slow down the overall process. The lenders must deliver these new rate and fee disclosures after the application once in contract and before closing.

The first new disclosure is the Loan Estimate which will clearly document the rate quote, loan term, line-item fees, and cash needed to close. The second new disclosure, called the Closing Disclosure will compare the originally quoted terms with which line item costs are paid by the buyer, seller, and third parties. This will provide much more clarity to the buyer for what terms, agreements, and costs they are signing into.

As of October 3rd, your agent and lender must coordinate closely when writing purchase contracts to make sure that the agent accounts for the new TRID timelines so as to not delay the process too greatly.

To find the best home loan lender in the Bay Area and all of California and Texas, visit Andraya Coulter. I work with you to determine the best loan options and quickest delivery time, so give me a call today to get started!


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