Online Signature Lawfulness for Disclosure Notice in United States: Simplify Document Signing with airSlate SignNow

How to eSign a document: online signature lawfulness for Disclosure Notice in United States

- On this video I'm gonna talk all about the Closing Disclosure or CD, which is your mortgage settlement statement and we're getting started right now. (upbeat music) Hey, what's going on? I'm Emmett Dempsey mortgage broker and owner Treasure Coast mortgage here in Port St. Lucie. And welcome to another video. On this channel, we're talking talk more about mortgages, the home buying process, and some cool things around Port St. Lucie in the Treasure Coast. So if you're new here, please think about subscribing. Okay, the Closing Disclosure. Okay we finally made it to the end made it through underwriting and clear to close, and we're about ready to close on your new home or your refinance. Now what is the Closing Disclosure? and again this is a twin little loan estimate. And if you haven't watched the loan estimate video, you can go back and watch that. It's a twin to a loan estimate which compares to what was disclosed on the loan estimate versus what is at the end. And usually, it should be that the closing disclosure fees are lower than what was disclosed because when I was over disclose on the loan estimate initially, now with the closing disclosure is the settlement statement that you're going to sign closing. You might have gotten an initial one electronically, which starts your three-day wait, and I'm gonna go into that in a minute. Now the CD was part of the TILA-RESPA Integrated Disclosures that were changed in 2010. Now one of the things that they that they changed and was they eliminated the HUD-1, just like the Loan Estimate eliminated a Good Faith estimate and the truth and lending and combined them, whereas the HUD-1 is now the Closing Disclosure or CD. Okay, so the CD is gonna have your settlement charges what the final numbers are, whereas your estimate had estimated numbers are and one of the pages that are on there is the the comparisons in LE and I'm going to go into a deep dive into the CD in a minute. But I wanted to point out some things is number one is a three day wait. The CFPB calls it the consummation sentence, that's their words, not mine. So you have to wait three days before you consummate your mortgage. So I'm gonna give you an example, if you wanna close on a Friday, you got to have it done by Tuesday. So it's basically a three-day wait. So if you sell your sign your CD on Monday, then you can close Thursday, you know, and so on and so forth and Saturdays do count. So it's very important when you're planning your closing, especially if you're you're selling your house and buying something else, you're going to really sign your CDs as fast as you can. And usually for all the lenders that I broker to they let you sign your CD early before a clear to close, so there's really not that issue. So what I'm going to do now is go into a detailed Closing disclosure, here we go. Okay, here is the simple Closing Disclosure. It mentions a simple loan estimate that I had in my loan estimate video. Again, this is a fictitious loan, it's not real client information. So basically here is Closing Disclosure. This form is the statement of the final loan terms and closing costs. And compare this document with your loan estimate. Now here's the the payment information, Closing date and disbursement date. Now on a purchase in Florida, we're a wet funding state, we usually fund them the same day that we signed paperwork, but sometimes like just sign one day and then you'll fund the next day, depending on what the sellers and buyers are. But as the closing dates when the paper works are signed disbursement date is when it funds. Who the settlement agent is, you know the phone number that they associated the property to sell price, etc. Who you are the borrower, who's the seller, who's the actual lender? Again, loan terms, you know, 30 2015, whatever they might be, purchase, fix rate, etc, FHA Conventional VA or other VA loan it from the lender in the MIC number. Again, that's from the the the MERS, Mortgage Electronic Registration System. That's the (clears throat) MIC number. Okay. And again, kind of matches loan estimate, here's your loan amount, can this amount increase after closing interest rate principal and interest. Now and ask that question if it's an adjustable rate, that answer will be yes, if it can increase loan amount if it's a you know, if you know now as far as things that use a Closing Disclosure is very few negative amortizing loan but again, if there is out there eventually they come back in the market. You know that question will be yes at least you'll be in plain language yes or no will it increase yes or no. This loan, again had a prepayment penalty most FHA and conventional loans don't have one, but this one for an example does have one I guess it's just so you look at this column and don't overlook it and say yep, yes. One is a yes what why is it Yes, and here's what it looks like. And then below no Protected payments, again, this is a mortgage insurance fall off scenarios years one through seven months projected to habit and it falls off you see what your payments will drop to once it falls off here is your escrows and again escrows are not controlled by the mortgage company. So you can take a look at those. Again, here's your closing cost and cash close. And now this is the closing cost details in the sections match up to the Closing Disclosure section, a origination that's for us as the broker and then the mortgage company have a control over your points application underwriting fee things here like your appraisal but it ended up being paid by others usually paid outside of closing. Your credit report. And again these are the final fees on the loan estimate usually over disclose and then on the CD that they'll come down. Services did not shop for basically your title. Fees or anything like that and it's all just listed you know one by one so you can see em and then add up to D A plus B plus C is your total closing cost your borrower paid your other costs like your recording fees, your transfer taxes, who pays what now this over here that you didn't see on the LE is a seller paid as you can see what seller did pay. in Florida they usually pay the the deed stamps and the owners title and again now things that we don't know usually on the other, especially HOA, its like HOA However, their quarterly or sometimes annually or monthly You know, so you have to kind of settle up because a seller isn't responsible for the whole year, only for what they have. So you can see that they you know, so you have to pay your first month of HOA to get current, whatever your home inspection fee I guess you had to get one on this loan. And it shows what the real estate commissions are in your title insurance is paid for. I want to show you this here, you know, calculating cash to close talks about the loan estimate the last one that was that was shown to you and you were scheduled to do 16 cash to close ended up being a little bit better like 14 cash to close. So that's kind of what you can compare. Now this is the the summary. Credit from the seller, you know, did about $80 paid by seller advanced because they paid the first 15 days of that month so they gotta pay it back to credit the seller back and usually you'll see what's called tax-perations. That's big in Florida because your escrow will have the full amount due for taxes but you'll get the credit from the seller for the amount of time that they own the house. So, a lot of times the loans being cash to close can be a lot higher because it doesn't have those perations as well as the accurate adjustment for your you know, for that. (clears throat) So, there's that And then down here you have what is a simple demand feature. Again, it all matches the Loan Estimate negative amortization partial payments, no, you can't make partial payments. And this is a throwback to the Truth in Lending. You know, again, they're all combined as part of trade. Escrow account For now, we'll have an escrow account. It shows you what's your property costs over, you know, the one year initial payment to the escrow and then your monthly escrow payment. And then if you waive escrow, you know that box will be checked in here's your total payments. Again, that's a throwback to the Truth in Lending, your finance charges, your a your APR, your final APR compared to what you disclosed And here's a list of all the contact information for the broker. I'm a mortgage broker. So my information will be here, and you know, the real estate for the buyer, the seller and settlement agent and the lender that we chose. So, and then again, this is where you would sign you know most of time you e-sign a couple of days before closing. Now a lot of what we do, like you'll assign an initial CD that will be about 99% correct, you know, cash or close before it's what we call balance with a title company. And then again, that's the structure three-day wait that we talked about previously in the video. So you backup if you have any questions about that? But yeah, so you need to have you know three days, you know, to before the consummation of your mortgage. So just, you know, quick rule of thumb, you want to close on a Friday, you got to have it done by Tuesday. So usually, I take care of that three-day wait, even before we're clear to close, but you know, you'll get your initial CD, and then you'll get the final CD. So you know, how much cash you have to wire, how much cash you're getting, etc. So, that's in a nutshell, and here we go. Okay. And welcome back. I hope that was informative look at the Closing Disclosure. You know, congratulations on your new home loan. hopefully I was the one who did have it done for you. But if you have any different questions about the CD and other disclosures, definitely give me a call dempseymortgage.com Thank you so much for watching and I'll see you in the next one.