Beginning October 1, 2015 home loans and closings will undergo some major changes. Under the direction of the Consumer Fraud Protection Bureau, many government mandated changes to the mortgage lending process will go into effect for anyone applying for a loan after this date. The time frames required to close a home will be affected and so will impact the seller as well as the buyer in the transaction.
Much of the terminology currently used by industry professionals, and familiar to the general public, will change beginning October 1, at which time the new terms identified by the CFPD will commence.
What does this mean to the consumer? It means you need to be using a real estate agency, a lender, and a title company that have been educated in the new process to avoid disappointment, confusion, and delayed closing. And get used to new terminology such as no more closings – they will instead be “consummations.” New forms and procedures will come into play throughout the entire home loan process.
Scheduled to take effect originally on August 1 of this year, the effective date has now moved to October 1 due to the small percentage of lenders that were ready to implement the new way of doing business.
This week’s featured home is a new waterfront listing is in Lake Saint Louis. 635 Lakeview Road has four bedrooms and three baths and many updates. It’s on the waterfront in a quiet cove and has a dock with two lifts.
Carol Davis has been a licensed Realtor since 1991, a life member of the Milllion Dollar Club and a member of the National, Missouri, and St. Louis Associations of Realtors. She is very active in the community, the Chamber of Commerce, and the Lake Saint Louis Community Association.