1. Regulations apply to all new loans filed after July 30, 2009.
2. The new requirements apply to all mortgages secured by a borrower’s home, including primary, secondary and refinancing. Investor loans are exempt.
3. The home buyer must be provided a copy of the appraisal a minimum of 3 business days prior to closing.
4. Lenders must give a good faith estimate of mortgage loan costs within 3 business days after the consumer applies for a loan.
5. The lender may not collect any fees before mortgage disclosure, except for a reasonable fee for a credit report.
6. The earliest any home purchase can close is 7 days after the homebuyer is issued their initial mortgage disclosure from the lender.
7. The home buyer must be provided a completed HUD-! Form at lest 3 business days prior to closing.
8. If the APR (annual percentage rate) increases by more than 0.125%, the lender must provide a corrected disclosure to the buyer and wait an additional 3 business days before closing the loan.
9. The APR includes not only the interest rate on the loan, but certain other costs related to settlement, so it is important that all fees bee as accurate as possible, as early as possible to minimize the need for a corrected disclosure.
10. The consumer may modify or waive both waiting periods for a documented personal financial emergency, but must receive the mortgage disclosures no later than the date of the waiver.
As always, your thoughts, questions, or comments are greatly appreciated. Let me know if I can help with any of your Charleston SC real estate needs or questions.
Sincerely,
"Carolina Joe" Idleman
http://www.charlestonscrealestateforsale.com
