New Home Loan laws can impact both the sellers and the buyers

KOLKATTA, India - Nov. 1, 2015 - PRLog -- Many are hailing this as the biggest change in thirty years in the market of real estate.

A brand new federal regulation will come into practice from the 3rd of October and it will change the way people sell or buy homes across the nation.

A Valley based loan lender Dean Wegner believes the that new laws, incepted by the Consumer Federation Protection Bureau, have been made to stop another loan-bubble pop, that we witnessed in 2008 and 09, which resulted in millions of people losing their homes.

In the lieu of safeguarding the customer’s interests, the Congress has made its move to keep the home takers safe from obtaining a bad loan and agreeing to papers that they did not comprehend.

“The rule is for the benefit of the customers” Wegner says. “This will also benefit in creating a transparent picture and allow distinguishing between a hostile and a good agreement. The whole scene of ‘let’s take a loan in 6 hours and make your life’s most difficult decision so quickly’ totally goes away. Wegner further adds.
But, there is an issue of lack of advert for the law, as many are oblivious about it.
“Never heard about that one” says a confused Tony Mendez of the Easy Approval for Loans.

“Donno anything about it” portrays a Tiffany Miller of the Easy Approval for Loans
Mr. Jake Krabbe, who is with the Easy Approval for Loans, recently conducted a training session with various loan givers and lenders so to educate them about the new law.

The new rule stipulates that a 3 day grace or waiting time is a must right from the moment the customers get their document to the time they sign and finish the deal.

The law also says that verifications must also be done on the home mortgage loans on whether the customers did get the relevant forms from the lenders, or the latter may face severe penalties.

Krabbe also believes because of the learning time, many deals will be delayed as both the buyers and sellers have to be educated first.

“Everyone waves a disclosure paper that they have prepared for a long time, but that’s now gone out of the window”: believes Krabbe.  He adds: “the new things are this and that; it’s all confusing and new. The waiting time frames are also enhanced in them.”

Wegner gives a very sound piece of advice and says that sellers and buyers need extra time to figure out the deals.

He says “The new date is like a target or aim date. It’s a moving aim, and it can fluctuate. But if you rely your whole life on a moving date or even on a single day and it does not work—then you go home unhappy.”

The typical time of closing a deal on a home was around a month before all this.
It can go up to 45 days, expects Wegner.

“Everyone has to be a bit flexible in the first 3 months at least” adds Wegner