Get to Know…TRIDTILA-RESPA Integrated Disclosures

Big Changes Coming October 3, 2015

Universal American Mortgage Company, LLC dba Eagle Home Mortgage, Company NMLS #1058

See last page for state licensing information.

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• What Is TRID and how does it impact business partners?

• What are the benefits of TRID?

• Introduction to new forms and how they will be used

• Timing requirements and how it will impact loan closings

• New tolerances and their impact on timing

• Your resource to learn more:

home.eaglehomemortgage.com/TRID

What We’ll Cover Today

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TRID is part of the Consumer Financial Protection Bureau’s “Know Before You Owe” campaign designed to educate and empower consumers.

Previously complex and confusing forms have been consolidated and redesigned to provide clarity and consistency

Closing documents previously presented at the time of signing or shortly before will now be provided 3 days in advance of closing

TRID becomes effective with loan applications after 10/3/15.

TRID: An Overview

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An application continues to be defined by 6 elements (name, address, income, value, SSN, loan amount)

A “catch-all” provision has been eliminated from the definition.

Fees can only be charged after the homebuyer has received the Loan Estimate and indicates an “Intent to Proceed”

Written estimates specific to consumers before they receive the Loan Estimate must state that the terms and costs may change

Documents may not be required until after providing the Loan Estimate (however, they may be suggested)

Changes that take effect on October 3

even with prior application

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A better understanding of the mortgage

process

Easier-to-understand forms

Ability to compare options at a glance

Knowledge to make informed decisions

Homebuyer Benefits of TRID

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The Loan

Estimate

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New Form #1: The Loan Estimate

REPLACES• Initial TIL disclosure and

• Good Faith Estimate (GFE)

NEW Loan Estimate Must be used with loan applications on or after October 3, 2015

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Loan Estimate

Page 1: General Information

Sales Price Loan Term Product and Loan Type Rate Lock Status Loan Terms and Loan

Amount Projected Payments Costs at Closing

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Loan EstimatePage 2: Closing Cost

Details Loan Costs Other Costs Calculating Cash to Close Adjustable Interest Rate Table (if

applicable)

Adjustable Payment Table (if applicable)

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Loan Estimate

Page 3: Overview

Creditor and Loan Officer Contact Information

Comparisons, including:Principle, interest, mortgage insurance and loan costs in 5 years.

Total Interest Percentage or Amount Interest Paid Over Term

Other Considerations, including:Whether loan is assumableWhether loan will be serviced by lender

Confirm Receipt (optional)

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Written List of Service Providers

“Shoppable” List, including:Pest InspectionSurveyTitle Services

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Changed Circumstances – Loan Estimate

Allowed within 3 days of change when:

• Homebuyer eligibility changes

• Homebuyer requests a change

• “Intent to proceed” indicated over 10 days after LE

• New construction closing over 60 days after LE

• Changes in the points or lender credits due to rate lock

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Pre-Disclosure

Written worksheet received before the Loan Estimate:• Must not have a similar format to the Loan Estimate• Must state prominently at the top of the first page in at

least 12-point font:“Your actual rate, payment, and costs could be higher. Get an official Loan Estimate before choosing a loan.”

(Statement not required for advertisements or information not specific to the consumer)

No fees collected until…Loan Estimate received and “Intent to proceed” indicated

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The Closing

Disclosure

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New Form #2: The Closing Disclosure

REPLACES• Final TIL disclosure and

• HUD-1 Settlement Statement

NEW Closing DisclosureMust be used with loan applications on or after October 3, 2015

Since the forms are unreadable how about if we just took a snippet of the name of the form from the corner of the document and blow it up some but not so much that’s it’s too fuzzy.

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Closing Disclosure

Page 1: General

Sales Price Loan Term Product and Loan Type Rate Lock Status Loan Terms and Loan

Amount Projected Payments Costs at Closing

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Closing Disclosure

Page 2: Closing Costs

Loan Costs Other Costs Calculating Cash to Close Adjustable Interest Rate Table (if

applicable)

Adjustable Payment Table (if applicable)

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Calculating Cash to Close Summaries of Transactions,

including:Amount due from borrowerAdjustments for items paid by sellerCash to close

Closing Disclosure

Page 3: Cash to Close, Summary

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Loan Assumability Demand Features Negative Amortization Escrow Account

Information

Closing Disclosure

Page 4: Loan Disclosures

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Loan Calculations Other Disclosures Contact Information Confirm Receipt

Closing Disclosure

Page 5: Overview

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Closing Disclosure Variations (formerly called Tolerances)

1. NO VARIATION PERMITTED (Zero Tolerance / Can Not Increase):• Fees paid to the lender or affiliate • Transfer taxes

2. 10% VARIATION PERMITTED (cumulative):• Fees paid to suggested service providers• Recording fees

3. VARIATIONS PERMITTED (No Tolerance/Charges may increase by any amount):• Services not indicated on the written list• Prepaid interest, property insurance premiums, escrow, impound, reserve, etc.

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Closing Disclosure Delivery Requirements

• Borrower must receive 3 business days before consummation

• Lender is responsible for delivery and contentSettlement agent allowed to provide, but currently Eagle will

provide

• Eagle will require signatures on the Loan Estimate and Closing Disclosure

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Changed Circumstances – Closing Disclosure

Before closingThe following changes require a new 3-day waiting period:• Increases to APR more than .125 (fixed rate) or .25 (adjustable

rate)

• Change to loan product• If a prepayment penalty is added

After closing• Change in amount paid due to event within 30 days of

closing • Non-numerical typos• Refunds for tolerance violations

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How You Can Help!• When possible utilize Electronic Delivery Consent to expedite closing

process.

• Set homebuyer expectations for the timing of the closing3 day waiting period

• Provide accurate information early and often throughout the process

• Educate consumers and partnering with us in our vision to “Enrich Lives”

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Our VisionENRICHING LIVES

THROUGH A

DEDICATED COMMITMENT TO

HOMEOWNERSHIP

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Three Things to Remember!

1. It’s great for the homebuyer

2. It starts October 3rd

3. Eagle is ready and will remain focused on closing on time

For more information and updates on TRID, please visit: home.eaglehomemortgage.com/TRID

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“After the big mortgage mess, we’re being a bit more careful these days…”

“…I’ll need your tax records, financial documents, plus letters of recommendation from

the Chairman of the Federal Reserve,

the President of the United States,

Oprah and the Pope.”

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ContactStevenWright/Sunny Wilson Office: 253.864.6222 stevenwright@eaglehm.com Cell-(Steven) 253.230.8622sunnywilson@eaglehm.com Cell-(Sunny) 425.876.4959

Twitter: twitter.com/Eagle_MortgageLinkedIn: linkedin.com/company/eagle-

home-mortgageYou Tube:

youtube.com/eaglehomemortgagePinterest: pinterest.com/eaglehm

1029 E Main St. Suite #101, Puyallup, Wa

For more information and updates on TRID, please visit: home.eaglehomemortgage.com/TRID

Thank YouFor Your Time!

Universal American Mortgage Company, LLC dba Eagle Home Mortgage - Company NMLS # 1058 (www.nmlsconsumeraccess.org): CA - Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act. RMLA # 4130443; CO - CO Supervised Lender License # 987996, Brian T Rindels, NMLS # 10725, 303-716-9000, Regulated by the Division of Real Estate; CT - Cedar Knolls license # ML-BCH-1152873; FL - Mortgage Lender/Servicer License # MLDB1731; GA - Branch NMLS #315634, Branch License #5675/53893, 1000 Holcomb Woods Parkway Bldg. 200 Suite 200, Roswell, GA 30076; Branch NMLS #1207373, GA License #71960, 125 Town Park Drive, Kennesaw, GA 30144; 31351 Rancho Viejo Road, Suite 202 &203, San Juan Capistrano, CA 92675, Branch NMLS#1173501; "Georgia Residential Mortgage Licensee"; ID - Mortgage Broker/Lender License # MBL-7679; IL - Illinois Residential Mortgage Licensee #MB0002095, Branch NMLS # 1192580 (1 Tower Lane, Suite 2655, Oakbrook Terrace, IL 60181); MD - Mortgage Lender License # 8101 Kietzke Lane, Suite 200, Reno, NV 89511, 775-337-7600; 1030 Caughlin Crossing, Reno, NV 89519, 775-284-3055; 500 DaMonte Ranch Pkwy., Suite 601, Reno, NV 89521, 775-850-3187; 4870 Vista Blvd., Sparks, NV 89436, 775-626-3673; MA - Mortgage Lender & Broker License # MC1058; MT - Mortgage Lender/Broker/Servicer License # 1058; NH - Licensed by the New Hampshire Banking Department; NV - Mortgage Broker License #1055; 5555; 820 Idaho Street, Elko, NV 89801, 775-777-3227; 3700 Lakeside Drive, Suite100, Reno, NV 89509, 775-200-7040; NJ - Licensed by the New Jersey Department of Banking and Insurance, Qualified Individual NMLS #130806; 2465 Kuser Road, 3rd Floor, Hamilton, NJ 08690, 609-245-2240; 240 Cedar Knolls Road, Suite 400, Cedar Knolls, NJ 07927; NC - Raleigh Branch NMLS #1166277; OR - Mortgage Lending License #ML-5079, 7320 SW Hunziker Street, Suite 300, Tigard, OR 97223; Mortgage Lending License #ML-5079-39, 3605 S. Teller Street, Lakewood, CO 80235; Mortgage Lending License #ML-5079-40, 32605 Temecula Parkway, Suite 310, Temecula, CA 92592; Mortgage Lending License #ML-5079-41, 17671 Cowan, Suite 206, Irvine, CA 92614; Mortgage Lending License #ML-5079-42, 31351 Rancho Viejo Road, Suite 202 & 203, San Juan Capistrano, CA 92675; PA - Licensed by the Pennsylvania Department of Banking and Securities pursuant to the Mortgage Act. Branch NMLS #1152873; SC - Charleston Branch NMLS #313773; TX - Branch NMLS #1020880, 4012 Preston Road, Suite 200, Plano, TX 75093; NMLS #1075077, 2201 South W.S. Young Drive, Suite 111-A, Killeen, TX 76543; NMLS #1068413, 12301 Research Blvd. Bldg.4 Suite 185 Austin, TX 78759; NMLS #1084944, 18756 Stone Oak Parkway Suite 200 San Antonio, Texas 78258; NMLS #1172195, 17671 Cowan, Suite 206, Irvine, CA 92614; NMLS #1173486, 32605 Temecula Parkway, Suite 310, Temecula Parkway, CA, 92592; NMLS #1173503, 3605 S. Teller Street, Lakewood, CO 80235; UT - DRE Mortgage Entity License #8070821 / Mortgage Entity License-Other trade name #1 #8070828; VA - Licensed by the "Virginia State Corporation Commission"; WA - Consumer Loan License # CL-1058. Certain restrictions apply. This is not a commitment to lend. Applicants must qualify. This information is for real estate agents and is not for distribution to consumers or other third parties.