Know Before You Owe: The real estate professional's guide
Real estate professionals are trusted resources for people choosing to buy a home. New rules taking effect will change your clients’ home buying experience. Since clients turn to you for help, we’re providing you with this guide to explain the Consumer Financial Protection Bureau’s (CFPB) Know Before You Owe mortgage initiative.
The Know Before You Owe mortgage initiative is designed to empower consumers with the information they need to make informed mortgage choices. It includes the implementation of the TILA-RESPA Integrated Disclosure rule, which is often referred to as “TRID.” We prefer Know Before You Owe (and since getting past jargon is a first step, we think you might prefer it too).
Mortgages are complex and confusing. This new rule primarily does two things:
- It simplifies and consolidates some of the required loan disclosures, and
- It changes the timing of some activities in the mortgage process.
This guide will help you work with your clients to ensure smooth and on-time closings.
Consumers told us that the newly designed Loan Estimate and Closing Disclosure make it easier to focus upon what is important. The forms’ design and language make the loan terms and loan costs easier to understand and potential errors or problems easier to recognize.
Specific information for you
Smooth and on-time closings
To help you prepare your clients, we highlight five areas you may want to focus your attention on.
Learn what has and hasn’t changed about the mortgage process
The Know Before You Owe rules mean new disclosures and new timeline requirements for lenders. We’ve outlined the seven steps in the process you need to stay on top of to guide your clients through to successful closings.