A fourth-generation real estate professional, Paul Iantorno works with Golden Properties, LLC, in San Francisco, where he has been a part of restoration projects involving buildings constructed in the early 20th century. In an effort to remain informed about issues impacting the industry, Paul Iantorno remains apprised of developments in real estate finance regulations.
Earlier this year, the Consumer Financial Protection Bureau (CFPB) modified regulations governing the Closing Disclosure process when there are major changes to either the Loan Estimate or the Disclosure itself. In instances where the Loan Estimate and Closing Disclosure arrive on different days, there may be discrepancies between the two. Under old regulations, lenders who needed to provide a revised Closing Disclosure had to do it no less than three days after a circumstance occurred that changed the Loan Estimate, and to the buyer at least four days before closing.
When these changes occur in the four-day window before closing, however, there were sometimes instances where lenders may have been justified in calling for higher interest rates, but were unable or unwilling to do so because it would disrupt the closing timeline. Under new CFPB guidelines, however, lenders can provide a revised Closing Disclosure that shows new rates/costs at any time prior to closing.
Earlier this year, the Consumer Financial Protection Bureau (CFPB) modified regulations governing the Closing Disclosure process when there are major changes to either the Loan Estimate or the Disclosure itself. In instances where the Loan Estimate and Closing Disclosure arrive on different days, there may be discrepancies between the two. Under old regulations, lenders who needed to provide a revised Closing Disclosure had to do it no less than three days after a circumstance occurred that changed the Loan Estimate, and to the buyer at least four days before closing.
When these changes occur in the four-day window before closing, however, there were sometimes instances where lenders may have been justified in calling for higher interest rates, but were unable or unwilling to do so because it would disrupt the closing timeline. Under new CFPB guidelines, however, lenders can provide a revised Closing Disclosure that shows new rates/costs at any time prior to closing.
