TRID Changes for Mortgage Borrowers
If you’re in the process of buying a home right now your mortgage lender will most likely have referred to TRID.
TRID stands for TILA/REPA Integrated Disclosure, both are acronyms for the Truth in Lending Act and the Real Estate Settlement Procedures Act.
When Will TRID Start?
TRID officially starts in October 2015 and the goal with this new act is to make the whole mortgage process simpler and easier for everyone because since the 1970’s lenders have been required to provide to consumers two separate disclosure forms when they are applying for a mortgage loan plus the whole mortgage process has often been confusing for consumers.
Making Mortgages Simpler
Thankfully TRID is going to remove some of the complexity from getting a mortgage loan because it will ensure simpler documentation, easy to understand mortgage language and a more efficient loan transaction which will ensure that lenders to work together more productively and best of all TRID will also help to ensure a more stress free loan transaction for the consumer as well.
The Right Time for TRID
In the past 30 years the mortgage industry has debated starting measures like TRID and it seemed like a huge task but thanks to newer legislation like 2010’s Dodd-Frank Act more is being done to reform the financial industry and insure that a similar meltdown like what happened in 2008 doesn’t occur again.
What Can Consumers Really Expect?
Besides making the overall process of getting a mortgage simpler for consumers, TRID will also insure that consumers have more of an overall picture for the costs involved with getting a mortgage loan even down to the cents.
Mortgage lenders will also have to follow more stringent requirements when qualifying and approving mortgage loans plus they will be held responsible if they don’t produce the required forms like a page one summary or the cash to close information.
To learn more about TRID and how it affects you or to view Southern California Homes for Sale contact Fred Sed & Associates by calling us at (949) 272-0125.