Preferred Title Company  -  Services for Real Estate Agents

    CONTINUING EDUCATION

    PREFERRED TITLE COMPANY has been an authorized by the Louisiana Real Estate Commission as a vendor for
    Continuing Education as mandated or required by the Louisiana Real Estate Commission since 1997.  Presenting
    many hours of CE classes throughout the year to real estate licensees.  Pat Miller has been presenting Real Estate
    CE courses since 1993 and is a licensed instructor with the LREC.  Information on upcoming CE presentations is
    available by sending an email to Debbie Miller for more information.

    Courses currently offered and approved by the Louisiana Real Estate Commission:
  1. 2016 LREC Mandatory Courses each Four (4) hours of credit:
  • CFPB and You
  • Agency
  • CFPB and Agency
  1. NAR Quadrennial 4th Cycle for Four (4) hours of credit
  2. Risk Reduction for Two (2) hours of credit
  3. Contracts for Two (2) hours of credit
  4. The Closing for Two (2) hours of credit

    TRID      WHAT YOU SHOULD KNOW ABOUT THE TRUTH IN LENDING - RESPA - INTEGRATED - DISCLOSURE
  1. Under the new TILA-RESPA rules less information is needed to apply for a loan.  A loan application is defined as the
    collection of these 6 items: 1) borrower’s name, 2) borrower’s social security number, 3) borrower's income, 4) property
    address, 5) estimate of property value, and 6) mortgage loan amount. The “catch all” seventh item is no longer required
    to complete the mortgage application.
  2. Good Faith Estimates and Truth in Lending Disclosures forms have been combined into a new three (3) page form, the
    Loan Estimate or “LE”. Loan Estimates must be delivered to the borrower within three (3) business days of taking a loan
    application. The intent of the LE is to provide borrowers with the lender’s costs as accurately as possible.  NO CLOSING
    CAN TAKE PLACE UNTIL AFTER SEVEN DAYS FROM THE DATE THE LOAN ESTIMATE IS ISSUED.
  3. Another major change that has taken place is a new form named the Closing Disclosure or "CD" which replaces the HUD-
    1 Settlement Statement and final TIL. The new five (5) page CD must be delivered to the borrower at least three (3)
    business days prior to closing. The days of the one-day delivery requirement for the HUD-1 are behind us. Changes in
    the loan terms could trigger an additional three-day waiting period, even with the “bona fide financial emergency”
    exception.
  4. Neither the Lender nor the Title Agent may provide anyone but the Buyer/Consumer with the Loan Estimate or the
    Closing Disclosure.  This is due to the fact that the CD contains non-public personal information (NPI) and for reasons of
    confidentiality and privacy the CD will not be released by the Lender or Title Agent to anyone but the Buyer/Consumer.
    There are no waivers or letters which the Buyer/Consumer may sign to authorize the release of the CD to the real estate
    agent.  Agents are advised to discuss this fact with the Buyer/Consumer and offer to review these forms with their Buyer
    clients.
  5. Seller's agents will not receive a copy of the LE or the CD, however the title agent is required to prepare a Seller's
    Disclosure which the title agent may release to the Seller.  Again real estate agents are advised to contact their Seller
    clients to review the Seller's Disclosure
  6. Many title agents are preparing a combined statement, often referred to as the "ALTA Combined Statement", which the
    title agents may release to the buyer, seller and their respective agents.
  7. Due to the timelines for disclosures and the need to provide the Buyer/Consumer with correct information, all parties
    including the Title Agent and Real Estate Agent must work together to collect all information  for the Closing Disclosure.  
    This includes not only costs of home warranty contracts, or wood destroying insect reports; but also Real Estate Agents'
    license numbers, their Broker's license number, as well as the phone and email of the Real Estate Agent; don't forget to
    advise the Title Agent of commissions to be paid; homeowner association's dues and contacts; contact information for the
    Buyer and Seller; the Seller's payoff is even required by many of the Lenders; the need for power of attorney for a party
    not available for the closing; and generally all the information needed to complete a transaction.
  8. The new TRID rules may affect the contract terms that you help negotiate for either the buyer or the seller.
                                       a. For example, a closing 30 days “out” may no longer be realistic.
    b. If your contract form contains a “set” number of days for the closing to occur, then a minimum of 15 additional days may
    be advisable.
    c. If your contract form requires you to fill in a specific date, take additional time into consideration. It’s important for you to
    communicate with the lender and the closing agent to   determine a realistic timeframe for closings under these new rules.

    ATTENDANCE AT CLOSING

    Please be aware that Title Agents not only recently dealt with learning and implementing TRID, but also most are now certified as being
    compliant with ALTA's Best Practices.   Some Title Agents were advised or required as part of their Best Practice certification audit to set new
    procedures for who may attend the closing.   Some have bifurcated closings where the buyer and seller are in separate rooms, others advise
    the seller to arrive at the closing 20-30 minutes after the buyer, and some have only the buyer in the closing room while the Buyer/Consumer
    reviews and executes certain loan documents.  While the TRID rules do not directly address how this procedure must be handled, the issue
    arises under the provisions of the privacy rules set out in the Graham Leach Blilley Privacy Act.  It is currently the practice at Preferred Title
    Company to advise the Buyer/Consumer that under the Privacy Act they have the right to have no one in the closing room while loan
    documents are being executed; and that if they permit the seller and/or real estate agents in the room during that time, it is their right at their
    sole discretion to stop the closing and ask that all persons leave the room until all loan documents have been signed.  The lender and
    investors will not accept any waiver of this right of privacy, leaving the Buyer/Consumer with sole control regarding this matter.

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PHONE: 225-766-6464
FAX: 225-763-6358
9100 Bluebonnet Centre Blvd. Ste. 102
Baton Rouge, LA 70809

Preferred Title Company (c) 2015