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New Loan Disclosure Rules May Potentially Affect Close of Escrow!

By Mike in Downtown San Diego Real Estate|Downtown San Diego Real Estate Market Analysis|September 2009 with 0 Comments

New Loan Disclosure Rules May Potentially Affect Close of Escrow!

The new requirement that started July 30th, 2009 is part of the Mortgage Disclosure Improvement Act (MDIA) and implements new loan procedures to protect borrowers and foster greater transparency in mortgage lending.

If the Annual Percentage Rate on an initial Good Faith Estimate is no longer accurate at close of escrow, a lender must generally provide a residential borrower with a new disclosure and a three day right to rescind before consummating the loan. Realtors are forewarned that, because of this new three day waiting period, a lender’s failure to timely provide corrected disclosures has the potential of delaying funding of the loan and close of escrow.

If you are a Downtown San Diego Condo or Loft homeowner or if you are thinking about investing in Downtown San Diego and have questions please contact us at 92101 Urban Living at 619.677.2435 and press 0 followed by 7 or reach us via email at [email protected]

To read more about the rules and regulations click here. ')}