To help Realtors® prepare for upcoming changes to the Real Estate Settlement Procedures Act (RESPA) and the Truth in Lending Act (TILA), the National Association of Realtors® (NAR) will host a webinar on Thursday, March 19, 2015 at 2:00 PM EDT.
The changes, which take effect August 1st, will replace the HUD-1 settlement statement, Good Faith Estimate forms, and Truth in Lending Act disclosure with a new Closing Disclosure and a new, single Loan Estimate. There will be changes to the closing process as well, including a new rule requiring everything to be in place three days prior to closing.
- The new Loan Estimate (LE) must be provided within three days of closing date, after six items of information are collected:
- The consumer’s name
- The consumer’s income
- The consumer’s Social Security Number
- The address of the property
- The estimated value of the property
- The loan amount
- The Closing Disclosure (CD) will replace the HUD-1 Settlement Statement.
- The CD will restate the LE in many ways.
- The CD will serve as the official settlement statement.
- The CD should be delivered a full three days prior to closing.
These new procedures will preclude last minute changes at closing. The National Association of Realtors® (NAR) worked closely with the Consumer Financial Protection Bureau to avoid more dramatic alterations to the settlement process.
NAR and the North Carolina Association of Realtors® (NCAR) will continue to provide extensive education on this issue between now and the August 1st implementation date. NCAR is planning a May webinar to help Realtors® understand the new regulations and practices that will impact real estate closings and agent/attorney relationships.
CLICK HERE for more information, including a helpful video briefing from NAR.
To register for the March 19 webinar, CLICK HERE.
Source: National Association of Realtors® and North Carolina Association of Realtors®
Filed under: Realtor® Issues |