How TRID Will Affect Buyers and Sellers

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Today, Harris Haley with Access National Mortgage joins me to discuss the new TRID regulations that went into effect on October 3rd. TRID stands for TILA-RESPA Integrated Disclosures. What that basically means is the government has designed something to slow the buying process down for the consumer. 

The biggest change a buyer can expect to see are the time requirements and communication changes. As far as time requirements, the government built in a minimum of three business days so that the buyer has time to see the closing statement before closing on the property. This is a mandatory three-day period so that the buyer has time to review everything.

As for communication, they now require an E-consent to be acknowledged by the borrower so that the borrower and the lender are able to communicate and send documents electronically to each other. Although it's not required, it is a good idea to set this up when you begin your loan application just so you don't have to worry about it later on in the process.

If you choose not to set up an E-consent, the parties involved will have to resort to what we call the mailbox rule. Essentially, this extends the process. There's a built-in time frame that the mailbox rule automatically allots for there to be an additional three days that need to be added on to any timing requirements.

Basically what this means is when you decide to purchase a home, consult with your Realtor. We will be able to set you up with a lender so you can get started with your loan application as soon as possible. 

Harris can still close a loan in 30 days. Access National Mortgage offers a free loan approval process prior to going under contract that allows them to close in 30 days despite the new timing regulations.

As a seller, once your home goes under contract, you need to be in constant communication with your agent. Complete all of the information with the closing attorney in order to keep the process moving. The timing regulations affect both buyers and sellers, and it's important to have a great team to work with. 

We can certainly guide you through the new TRID regulations. If you have any questions for Harris, you can contact him at 770-989-7397 or HHaley@AccessNational.com. If you have any questions for me, please don't hesitate to give me a call or send me an email! We would be happy to help you!