A FEW THINGS YOU MUST KNOW BEFORE BUYING OR SELLING A HOME!
In an effort to empower and protect consumers when purchasing a home with a mortgage, the Dodd-Frank Wall Street Reform and Consumer Protection Act directed the Consumer Financial Protection Bureau (CFPB) to integrate mortgage loan disclosures. What you must know is that on October 3, 2015 “TRID” was implemented. TRID is an acronym for TILA/RESPA Integrated Disclosure. (TILA – Truth in Lending Act, RESPA – Real Estate Settlement Procedures Act) Confused yet? Let me explain briefly what this is, and what it means to you if you or someone you care about will be buying or selling a home in the near future.
TRID is being affectionately called “Know Before You Owe”. The intent is have processes in place whereby lenders must disclose all fees and terms of loan within a certain time frame, and to give buyers an opportunity to shop the terms of the loan. I recently attended a 3 hour CE class on this topic and the take away is that these new government regulations will significantly impact the way we have done business in the past. Most notably, the typical timelines in a real estate contract, especially the closing and possession dates, will most certainly be impacted. It would appear that the days of a 30 day closing are a thing of the past. I have spoken with several top lenders and closing attorneys around town, and while most seem to have processes already in place to deal with these new regulations, no one really knows for certain what the impact will be.
One thing IS certain, is it absolutely imperative that if you are buying or selling a home that you partner with a real estate professional who is knowledgeable on this topic and who can refer you to the lenders, closing attorneys, and other partners in the real estate transaction who can guide you best. The CFPB means business, and you do not want to engage in real estate contract until you have the facts on how you may be impacted, whether you are on the buying or selling side of the transaction.
For more information on TRID: http://www.consumerfinance.gov/know-before-you-owe
Consumer Financial Protection Bureau
Posted in Living in Atlanta
Tagged atlanta fine homes, atlanta fine homes sotheby's international realty, atlanta real estate, banks, CFBP, closing, dodd-frank, good faith estimate, know before you owe, RESPA, settlement statement, TILA, TRID, wallstreet reform
David Boehmig, President and Founder, Atlanta Fine Homes Sotheby's International Realty
A message regarding the 2011 real estate forecast for Atlanta from the president of Atlanta Fine Homes Sotheby’s International Realty.
Welcome 2011! Every housing professional I meet – from builders and developers to Realtors and brokers is enthusiastic about this year and the return of a stable and growing housing market across the country.
Prices are favorable; interest rates are at an all time low; and at Atlanta Fine Homes Sotheby’s International Realty we see the year ahead emerging as a period of transition for the Atlanta housing market. Buyers and sellers alike will realize new opportunities during this time.
What makes this year different and our outlook more positive? Available inventory and interest rates. Our local home inventory levels have fallen from last year’s outrageous peaks to a more reasonable and manageable 11 months supply of homes for sale. While this level is still higher than what we prefer, it helps stabilize market values, prices and perceptions.
We still have a ways to go before we enjoy our customary trend of modest appreciation rates in Atlanta, but things are moving in the right direction.
With every market transition, we find new opportunities to capitalize on shifts in buyer behavior. As the general economy shows signs of growth, we’ll see a number of potential homebuyers prepare to move forward with new home purchases.
The market volatility of the past few years, coupled with high unemployment, has served to create some pent up demand for homeowners looking to relocate, right size or expand. This is good news for sellers, who may have been waiting to put their homes on the market.
Additionally, market analysts and experts tell us that interest rates will begin to climb again this year, a further incentive to get buyers off the fence and ready to purchase. Long-term interest rates will begin to rise as our economy moves toward recovery. Buyers will benefit from the combination of soft prices and the most favorable interest rate market that we have seen in decades.
Posted in Living in Atlanta, State of the Real Estate Market
Tagged 2011 real estate forecast, 2011 real estate outlook atlanta, Atlanta, atlanta fine homes, atlanta fine homes sotheby's international realty, atlanta luxury real estate, atlanta real estate, buckhead real estate, david boehmig, Market values, north fulton homes for sale, north fulton real estate, real estate market, rhonda haran, Sotheby's International Realty, State of the Real Estate market