Preview of New Mortgage Regulations--Uh Oh!

By
Real Estate Agent with Smart Green Realty

 Settlement is supposed to be a week from today. As a result of the building inspection, my buyers got a $500 credit toward their closing costs. I put that in an addendum. Last week seller's agent was out of town on vacation. I just got the signed addendum agreeing to the $500 credit back yesterday. I was busy and I did not send it right on to Citizens Bank. The loan officer just now informed me that I need to figure out another way to work that credit. A FULL WEEK before settlement is too late to submit the addendum because the buyer needs 3 days to review the financials before settlement. If we make the change today--the Friday before settlement, closing needs to be postponed!!! Yikes.

**A new world is about to dawn. Lots of closings will have to take a week or two longer.

*** Let me make it clear that, in general, I am in favor of the new regulations. I always thought it was wrong that buyers would only find out the exact amount of their closing costs a few hours before settlement. The changes make sense. However, getting used to the new time frames will cause some headaches!

Comments (1)

Joe D'Agostino
NMLS# 729950 - Manahawkin, NJ
Mortgage Officer 46 years!

You should be the Lender. The new Regs. have caused many to leave the business.

Jul 05, 2015 02:30 AM