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TRID's 3-day rule leaves non-negotiable closing; are you ready?

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Mortgage Professional America | 11 Mar 2015, 11:03 AM Agree 0
Gone are the days of making last minute changes to mortgages and experts at recent panel in New Jersey say the mortgage industry is still unprepared for the rule's major changes.
  • HP | | 11 Mar 2015, 01:47 PM Agree 0
    When will the "industry" as a unified voice, just say NO.
    No will not and cannot comply with that!
    Fix it, or we will be out of the market until you do.
    That would get their attention.
  • Down with CFPB | | 11 Mar 2015, 02:12 PM Agree 0
    The funny thing is that this will not help the consumer but often harm them. There already is a HUD tolerance for which the lender is repsonsible. To make this new rule there will be an inevitable stall in closing dates for most buyers and sellers. THis will create a daisy chain effect across the country. If you have to sell your house to buy a house from someone selling to buy a house, from someone selling to buy a house etc etc etc. All of these have to now line up with a 100% perfect HUD 3 days prior to closing. I have done some, not all, research on this.....does anyone know if this includes interim interest and escrows or just other fees? If its escrows and interim interest as well this will become a total disaster. Sorry we can't close you so we must push the closing back 1 day, which now will be 4 days since I need to send you a perfect HUD 3 days prior to close.

    This is the worst rule change in the housing and lending industry in the last 25 years and maybe ever.
  • JBurns | | 11 Mar 2015, 03:12 PM Agree 0
    Absolute idiots writing these rules with no knowledge of the mortgage business or the real world. Nothing done in the last seven years by the "rule makers" (who are these people?) has helped the consumer or the housing industry at all, absulutely to the contrary.
  • Mtg Nerd | | 12 Mar 2015, 07:02 AM Agree 0
    Thank Dodd and Frank.

    These issues will be difficult. In the end, lenders will price up, in order to eat some downstream costs. The costs of perfection will exceed the benefit to lender or consumer.

    Those that price under will either fail or be fined. Perfection does not exist in a single entity, much less where you are pulling together multiple parties to participate at one moment in time. Even with technology, mis-communication alone would prevent reaching 4Sigma.

    Once error rate and cost is known, it will just be price adjusted. Lenders will simply pad up pricing a few basis points to offset.
  • verity | | 13 Mar 2015, 10:03 AM Agree 0
    Curious. How many people here voted for Obama and his fundamental change in America? CFPB is not the problem, it's a symptom. How many people here are liberal minded progressive individuals that hate America and vote accordingly, but hate the CFPB because it affects you personally? For those that befit this...hypocrites.

    Did you think you could vote in a social utopia of liberalism while maintaining the bedrock principals of capitalism and freedom?

    Want to fight CFPB, fight the liberal republicrat progressives and all of their fundamental changes or quit complaining and thrive in your new red America with Obama and George Soros at the helm...if you can.

  • MtgGeek | | 13 Mar 2015, 11:17 AM Agree 0
    Obama vote to CFPB = Non sequitur. Hahaha. What a joke!
  • dm | | 16 Sep 2015, 09:24 PM Agree 0
    I am a consumer and a business lawyer and there is no serious question it will help people have time to review the transaction papers and catch mistakes that could hurt them financially. There is no other transaction of this importance where someone is expected to sign 50 pages of papers without any realistic opportunity to review the papers. It is a long overdue rule.
  • | | 28 Oct 2015, 12:23 PM Agree 0
    The statement "facts will be dictated to Escrow" leads me to believe the person who wrote this article does not know what escrow does. We only take instruction and do not and should not dictate any portion of a Lender's instruction. Of course we do point out when they are violating RESPA. I would not consider that dictating.
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