(As reported by real estate educator Duane Gomer, http://duanegomer.com)
TRID (TILA-RESPA Integrate Disclosure) has now been in effect for two months. So what do you think? Has it been the end of the financial world as we know it? Have people been standing in line complaining about the new forms and delays?
From my discussions with MLO’s and Agents, seminars with the California Association of Mortgage Professionals, Expo panels at the National Association of Realtors, discussing the situation with students and our instructors, talking to Consumer Financial Protection Bureau staff, and reading, I have come to one conclusion. Life is going on.
One word that I have heard from many is smooth. Surprised. About like Y2K. Can it get better? Yes.
One good aspect is that many surveys indicate that people in the field believe that the forms will help consumers understand their loans better, improve communication, and have more transparency in the lending business. Of course, there are many horror stories, but a change like this with so many software changes is going to cause problems. But we were having horror stories with the old forms.
Another comment that I hear from MLO’s to Agents and Refinancers is, “Send in the Intent to Proceed as soon as possible.” All timing starts with this. It is so important that I will repeat. “Send in the Intent to Proceed as soon as possible.”
CFPB stressed two topics. There is information on their website (cfpb.gov) called the Real Estate Professional Guide. It is outstanding information for everyone including agents, MLO’s and consumers. Get it to the consumer early.
Also, there is the famous Home Loan Tool Kit. It replaces the former Supplemental Booklet. Also, full of information. Priscilla McClung from CFPB gave copies to anyone who stopped by their booth at the NAR Expo. She said that it is strongly recommended that this information be given early to consumers instead of waiting until it is required to be given with the Loan Estimate. If you read it, you will understand why. It answers so many questions before they are asked or even contemplated.
One new idea that CFPB has started. You can go to their web site and click on http://files.consumerfinance.gov/f/201505_cfpb_using-your-logo-with-your-home-loan-toolkit-instructions.pdf. You can put your own logo on the booklet and print it. An outstanding way to keep your name in front of your consumers for it is believed that it will not be thrown away like so many flyers. You will look an information source.
MLO’s, check out our last minute classes this month for renewal. See you in class. Thanks for all your support. It has been an amazing year for Duane Gomer Education, and we owe it all to you, and we know that to be really true.
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