Business & Real Estate
- Published Date
- Written by Los Altos Town Crier Staff - Special to the Town Crier
A new mortgage-loan regulation scheduled to take effect Aug. 1 could delay the closing of escrow if not understood by all parties involved, according to lenders.
The Truth in Lending Act – Real Estate Settlement Procedures Act (TILA-RESPA) Integrated Disclosure rule requires changes to the traditional mortgage-loan acquisition process. Issued by the Consumer Financial Protection Bureau, the changes combine the mortgage disclosure established by TILA-RESPA into a single rule. However, a lender panel at a Silicon Valley Association of Realtors meeting reported that the move to simplify the process has created confusion that could delay the closing of escrow if the new rule is not studied carefully.