HUD-1. GFE. TILA. These real estate terms may not mean a lot to potential home buyers and sellers, but they imply big changes that could affect your home closing and settlement. Some familiar, old forms are going away, while new forms – the Closing Disclosure and the Loan Estimate – are being introduced as of October 3. See the details in a National Association of Realtors article, Understand the Oct. 3 Changes to HUD-1.
What could this mean for you? Industry experts warn that today’s 30 to 40 day turnaround times to get to settlement could be extended to 45 days or longer. Be sure to work with your realtor to build in extra time, just in case it’s needed.
Settlements sometimes get delayed due to a variety of circumstances, even before these new changes. Did you know that only *63% of purchase contracts settled on time during April, May and June of this year?
Big changes are around the bend. Our Long & Foster office is actively staying on top of the new forms and process changes, to be fully prepared for our clients. If you have questions about the forms transition and implications for you, please contact me, Lauren Kline.