ATS Secured hosted a webinar today, “Realtors and New Regulations: Ensure a Timely Closing,” featuring Charles Cain, EVP-Agency at WFG National Title Insurance Company.
Realtor Mortgage Regulation Webinar Highlights
Cain spoke on how the CFPB’s newest regulation, TRID, will dramatically change the way real estate closings are done. The stated goals of the new rule seem to focus on the importance of the homebuyer’s comprehension of the mortgage process.
New Mortgage Forms Timing
One of the main changes that TRID has made includes the timing of the new forms, the Loan Estimate (LE) and the Closing Disclosure (CD). The LE will need to be provided to consumers within three business days after submission of the loan application. This provides the summary of key loan terms and estimates of loan and closing costs. The intent behind this change is to promote the idea of comparison-shopping. As for the CD, it must be received by consumers three business days before consummation of the loan.
These and many other changes will impact the real estate process.
A short summary of the effects of TRID includes, but is not limited to:
- More knowledge of federal law needed
- Marketing arrangements will be scrutinized
- Foreclosure & short sales will take longer to complete
- Two walk-throughs necessary: more than 8 days prior and day of closing
- Real estate agents need to explain more to buyers, especially no-attorney first-timers
The Realtor’s Role: Educating Homebuyers on Mortgage Rules
Real estate agents have an important role in the mortgage process: that of educating the homebuyer and keeping them informed about what is needed, why it is needed and what will happen next. In the face of such large-scale changes, this role will become even more essential, as real estate agents help the homebuyer navigate the changing mortgage landscape.
The CFPB will be watching real estate agents as the rule is implemented, for the purpose of evaluating how the homebuyer is affected. It is vital that real estate agents understand how the new regulations will impact the entire process, so they can answer to the CFPB should the regulator decide to review their business.
Interested in learning more from this webinar? Download the full webinar, complete with Q&As, today!
Want to make your mortgage process easier and more accurate? Contact ATS Secured today.