Starting next week…October 3rd to be exact, (Yes, I know that’s a Saturday) a whole slough of new rules, regulations and disclosures will be rolling out intended to give the real estate consumer more protection and safeguard them against a bunch of bad stuff.
So, What is TRID?
TRID stands for TILA-RESPA Integrated Disclosure. And just for clarity, TILA stands for the Truth in Lending Act and RESPA stands for Real Estate Settlement Procedures Act and the CFPB…Geez, another government acronym…Consumer Protection Protection Bureau has determined these 2 acts need to be consolidated into one easier for the consumers to understand procedure that is going to throw every home buyer and seller for a loop!
Why is this Happening?
Essentially, this is a consumer protection movement due in (very) large part to what caused the real estate meltdown of 2008! Predatory lenders and the under qualified buyers getting loans they knew could never get repaid!
Also, consolidation of some forms including doing away with standards like the HUD-1 Settlement form.
Here are some noticeable changes you can certainly expect with the new TRID changes:
- 45 days (or longer) to close
- Lots of extra paperwork for the buyers during the loan application process
- Increased scrutiny in the appraisal process
- New disclosures and waiting periods
I have a number of lenders who I work with who are all very good at what they do so if you are thinking of buying or selling after October 3rd, I would strongly encourage you to contact me so I can get you in touch with one of these outstanding professionals. They are the authority on all this and have been trained on the new forms and procedures going into effect starting next Saturday!
I am passionate about Real Estate and eager to answer all of your real estate questions! Text or Call me at 360-880-2356 or email me directly to ask about Buying, Selling or Investing in today's Real Estate Market - serving Lewis County & Thurston County, WA.
Certified Residential Specialist | Real
Mountain Valley Real Estate