“The new TRID, the repercussions of the rule and what it could mean for us is a frustration; we’re fearing closing delays,” Jason Crigler, a mortgage broker with Crown Mortgage, told Mortgage Professional America. “Every lender is going to have their own process and those processes could be varied.
“Understanding how they all work will take some time and there will be a learning curve.
The deadline to implement the TRID guidelines is October 3.
The CFPB recently released a roundup of some popular questions and answers about the “know before you owe” rule from its information webinars, which aim to help originators who are hard at work preparing for the coming legislation.
The index contains answers to pressing originator questions regarding disclosure forms, variations, record retention and many others.
Still, all the planning won’t prepare players for grappling with the varying ways lender interpret the rules. Time will tell just how much variance there will be and what sort of delays originators will have to deal with.
Delays will also depend on how prepared each lender is.
“Unfortunately not all mortgage lenders will be prepared for these new stresses that are going to be added to the closing process and they will not be able to simply turn things around the next day, as they have in the past,” Monte Mohr, a Tennessee-based real estate agent with The Mohr Group, wrote in a column for The Tennessean. “Some of these lenders will probably become casualties of not being prepared. Time will tell.”
The TILA-RESPA disclosure rule deadline is quickly approaching, and originators are preparing for significant delays.