John Adams and Tu Mullins discuss the changes and impacts TRID is having on renovation lending the renovation lending form and how it affects you.
Don’t TRID on me. Hi I’m John Adams – and I’m Tu Mullins. Today’s renovation minute is about TRID. This is part of the truth in lending disclosure changes for simplification of the settlement process. These upfront disclosures provide a simplified way to assist consumers and to disclose up front the fees and the account for them in a similar way prior to and at closing. This is going to require lending professionals to capture more data upfront from all partners (Title, Insurance, and other affiliated costs for settlement providers). Here are some handy forms that will help you in the process for TRID and other helpful lender checklists for the loan process and a renovation loan checklist.
TRID has also caused some shakeup with the largest renovation national lender who is not prepared on a systems basis to deliver these products to consumers as of the TRID deadline. This is causing some lenders to pull out of renovation lending and have paused their offering of renovation loans for an undetermined amount of time. Non-bank lenders like imortgage have been nimble and able to respond to systems issues and consumer demand to still offer these products through the TRID transition. As always we are here for your resource with any renovation lending questions you may have.