Here's another current observation from Your RED-Headed, Mortgage Guy

YES, the Mortgage Disclosure Improvement Act of 2008 comes to haunt us on July 30th.

Early disclosures are required for "any extension of credit secured by the dwelling of the consumer".  Not that we in the mortgage business weren't already required to provide a Good Faith Estimate and a Truth in Lending form within three business days, we are now bound by other restrictions with this law.

The earliest a transaction can possibly close is SEVEN days AFTER the initial closures have been ISSUED by the lender (delivered by mail, e-mail or in person).  This is assuming NO re-disclosure is required - let me discuss that.

Mortgage Lenders are now required to RE-DISCLOSE if the APR changes by more than .125% (whether it's bad or good), if the fees and charges change by more than 10% or there is a change in loan terms.  THREE business days must pass in the event of redisclosure.

The three business day waiting periods begin when the consumer actually receives them.  (I try to meet with my clients, so that I can hand them the disclosures directly.)  When sent by e-mail, which we at Landover do over a secure line with encrypted e-mail, we are notified when e-mail is received.

Just to add to the fun, NO MONIES can be collected from the borrower, with the exception of a "bona fide and reasonable" credit report UNTIL they receive the initial disclosures.  Another exception to this rule is in regards to collecting for an appraisal up front.  Up-Front appraisal fees can be collected if the loan application is taken in person and the disclosures are distributed at that time.

On a side note, HVCC (our lovely appraisal CODE), requires the borrower receive a copy of the appraisal three days prior to closing.

I'll keep you posted when our next set of changes come to market.  Until then, have a GREAT day!

 

GM files for bankruptcy and the stock market is up 211 points… GO…
06/01/2009
share
Here's a current observation from Your RED-Headed, Mortgage Guy, May was the third month in a row for stock market gains. Stocks have been appreciating as the credit freeze and bank liquidity crisis has eased, while a growing number of economic… more
Is Armegeddon upon us… again?
05/28/2009
share
Hello Everyone - Dave Andrews your RED-headed Mortgage Guy with something notable, Periodically, things happen in the market that need some explainin'. Today is one of those days. If you haven't heard the last 48 hours has not been very kind to… more
What's the hold up with these low rates…
03/27/2009
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. I got this from one of my news sources that I found as an interesting read… ENJOY! What is the agent/broker on the street saying "The bigger problem that… more
"George Washington couldn't even get these interest rates. "
03/19/2009
share
Hello Everyone, this is your RED -headed Mortgage Guy with news you can use. The BIG news that hit the market in the last 24 hours was that The Fed's plan to buy up to $300 billion of long-term government bonds and $750 billion in additional… more
Hello Higher Loan Limits
02/27/2009
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. NEW FHA Limits have returned. Speaking of FHA, remember that Mortgagee Letter 2009-07 establishes the new FHA loan limits set forth by the American Recovery &… more
Ch - Ch - Changes on the horizon
02/13/2009
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. Can you believe we are about to look back at the first month of 2009? 2009 without a doubt is going to be an interesting year in the real estate/mortgage industry… more
Can you believe we are almost through the first month of 2009
01/27/2009
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. Can you believe we are about to look back at the first month of 2009? 2009 without a doubt is going to be an interesting year in the real estate/mortgage industry… more
4. 5% Interest Rates - Myth or Reality - Part III
12/16/2008
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. A few days ago I discussed the story that was in the news about 4. 5% interest rates. In my original article I mentioned that the "original" story was referring to 4… more
4. 5% interest rates - Myth or Reality - Part II
12/10/2008
share
Hello, your Red Headed Mortgage Guy, Dave offering some interesting information. A few days ago I discussed the story that was in the news about 4. 5% interest rates. In my article I forgot to mention that the "original" story was referring to 4… more
 

Dave Andrews

Gig Harbor, WA

More about me…

Landover Mortgage

Office Phone: (253) 853-2287

Cell Phone: (253) 948-2889

Email Me



Links

Archives

RSS 2.0 Feed for this blog