Update on the Proposed New Closing Statement:

By  Stephen L. Vinson, Jr., Esq.
Attorney at Law

Update on the Proposed New Closing Statement:

Continuing in our efforts to keep you as informed as possible with the upcoming proposed changes to the closing process, attached is a copy of what the new Closing Statement (called a ‘Closing Disclosure’) will look like once adopted. As you can see, it doesn’t even slightly resemble the current HUD-1 closing statement. Accordingly, our office is already hard at work learning this new form so when the law is implemented, we will be able to seamlessly transition to the new system and be ready to serve all of our clients with the same level of proficiency to which they are accustomed. For now, we just wanted to make it available for everyone to review.

 More on the Consumer Finance Protection Board (CFPB) (that will affect everyone):

In addition to changes relating to the closing process mentioned in brief above in regard to the new ‘Closing Disclosure’, the government continues to regulate the banking system making it more difficult for small to mid size banks to compete in the marketplace. A handful of local community banks have already announced that they will no longer be able to provide residential lending due to the ever increasing cost of compliance. Other small and mid size banks are being forced to merge with other banks as they can no longer bear the increases in compliance costs and capital requirements under Dodd Frank (which created the CFPB). See the attached article. Dodd Frank Article We all need to adapt the ever changing marketplace but we want our clients to be aware of the environment in which we are all working so they are prepared to take advantage of any opportunities presented to them.

The Mortgage Forgiveness Debt Relief Act was extended as part of the legislation implemented by the now infamous ‘fiscal cliff’ vote. It is retroactive back to 2012 and includes 2013.

In closing, we here at Universal Title Company are mindful of the sweeping changes that continue to affect the real estate industry. Some changes are for the better but others will have negative impacts on our industry. Either way, we are dedicated to keeping abreast of all of these changes and keeping you as informed as possible. It is our hope that through our continued loyal working relationships, we can collectively remain leaders in the industry and continue to provide our respective clients with the highest and most competent level of service.