These rules have been issued by the federal Consumer Financial Products Bureau and will impact practically every residential home sale. At the heart of the regulations is a requirement that a complete and accurate "Closing Disclosure" form be given to homebuyers by their lender at least 3 days before a closing can occur. If the disclosure is emailed, the lender must obtain an electronic signature on each page of the disclosure. If the disclosure is mailed, the lender must wait seven days or obtain an acknowledgement that the borrower received the disclosure (in which case, the wait is only 3 days).
These rules will change what information is disclosed and how it is disclosed. Builders and realtors can expect closing delays, especially in the early days of the new rule. Same day closings are a thing of the past.
For more information, visit the Regulatory Affairs page of the HBA website.