Brokers and Managers: CFPB proposes delays to closing changes; why brokers will save money soon

CFPB proposes moving effective date for closing changes to October 3 In late June, the Consumer Financial Protection Bureau proposed a two-month delay to changes to the mortgage-closing process, making the effective date October 3. The CFPB proposal was open for public comment until July 7. Read the CFPB's proposal on consumerfinance.gov, and stay tuned to texasrealestate.com/closings for the latest news. New title form required when CFPB rules take effect A new Texas-specific form called the Texas Disclosure (Form T-64) will be part of the necessary closing documents when CFPB rules take effect. Created by the Texas Department of Insurance, the Texas Disclosure does not replace either the Loan Estimate or Closing Disclosure that will be required by the CFPB. Its purpose is to provide buyers with clear information about the costs associated with title insurance, and provides a more detailed look at title-insurance items that were removed for combined from the HUD-1. The form also helps the TDI ensure title agents are following the rules for state-mandated pricing of title policies, and includes a signature line that authorizes the title agent to disburse the funds. Title agents must provide the form at the same time as the Closing Disclosure form once the new CFPB rules go into effect. TAR authorization form preserves your access to closing docs when rules change When the new CFPB rules go into effect, you'll need written permission from your client to receive copies of certain closing and disclosure documents from lenders and title companies. TAR created the Authorization to Furnish TILA-RESPA Integrated Disclosures (TAR 2516) form for this purpose. Start using the new form once the closing changes go into effect. Watch the latest Texas REALTOR® Magazine Minute to learn how to use the form. Why brokers will save money and Texans can vote for lower property taxes The occupations fee that Texas real estate brokers pay when applying for or renewing their two-year broker's license was repealed during the 84th Texas Legislature, thanks to efforts from Texas REALTORS® and association staff. The law takes effect September 1, so brokers who renew their licenses and people who apply for a brokers license on or after that day will see a $300 savings. In addition, legislation passed this session gives Texas voters the chance to pass Proposition 1, which if passed could increase the homestead exemption and constitutionally ban real estate transfer taxes. Texas REALTOR® magazine outlines what TAR achieved at the Capitol this year. What you should know about the U.S. Supreme Court's recent fair-housing decision The U.S. Supreme Court upheld the use of a legal theory that will help individuals substantiate a Fair Housing Act violation claim by proving a practice has a discriminatory effect, regardless of whether there was intent to discriminate. The Advice for Texas REALTORS® blog explains the high court's opinion and what it means for you and your agents. Common questions about contingencies are answered Make sure you and your agents are clear about how to use three of the most prevalent contingency forms. Texas REALTOR® magazine covers questions related to the Addendum for Sale of Other Property by Buyer, Addendum for "Back-Up" Contract, and the Third Party Financing Addendum for Credit Approval.