New, Simpler Closing Documents

On August 1, things change across the USA for buyers and sellers of real estate. In short, consumers will have three closing documents reduced into two, the Loan Estimate and a Closing Disclosure. The idea is to simplify, making understanding the documentation easier for all.

Here is my short summary of what to expect:

1) The new documents now require for Buyers and Sellers to have 72 hours to review them, so no last minute rushes to the closing table.

2) It is very likely that when August 1 rolls around there will be delays with closings, as all parties, including title companies and lenders get used to the new rules and regulations.

3) I see the new forms as a tremendous positive for consumers. The layout and clarity of the information is vastly superior (in my mind) to the prior documents.