KHC S TPO TRID GUIDELINES AND WORKFLOW

Transcription

1 KHC S TPO TRID GUIDELINES AND WORKFLOW

2 TPO Lenders Must use KHC s Loan Estimate for First Mortgages Utilize one of KHC s Approved Closing Agents Complete TRID Fees Tab New in KHC s Loan Reservation System Print both TRID Documents Printing and Document Printing (UW Checklist and specific KHC forms) DAP Loan Estimate available just like before TRID In the DAP Loan the DAP Loan Estimate is available to print in TRID Documents Printing

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4 Click on Log In

5 You will need: Broker ID User Name Password Specific to YOU If you do not have the ID, User Name and Password then contact your company s KHC System Administrator Once you enter Broker ID, User Name and Password click on Log In

6 Workflow Import DU File Complete Loan Reservation/Lock in interest rate Switch Loan for DAP (if applicable) Print DAP Forms Switch loan back to first mortgage loan Print First Mortgage Documents Enter TRID Fees Print TRID Documents

7 Lender will import/reserve loan the same way. Three new tabs available on workflow menu.

8 Closing Agent Question on Additional Loan Info Tab

9 TPO Approved TRID Closing Agents Approved Closing Agents Settlement Cost Title Policy provided by Closing Agent = $500 Title Policy NOT provided by Closing Agent = $700

10 Approved Closing Agents American Title Company, INC. American Title Services, LLC., DBA 360 American Title Services Bluegrass Land Title, LLC. Borders & Borders Bowles Rice, LLP. Capital Title, LLC. Executive Title Company Foreman Watson Land Title, LLC. Kemp Title Agency, LLC Lee M. Harton, PLLC. Limestone Title & Escrow, LLC. Mainous & Grant, PLLC. Mattingly Ford Title Services, LLC. McMurry & Livingston, PLLC. Mooser & Associates, LLC. Reynolds, Johnston, Hinton & Pepper, LLP. Springdale Title, LLC.

11 Fees Auto-Populated The following fees auto-populate: Underwriting Fee $495 Administrative Fee $105 Appraisal Fee for FHA or RHS $450 Appraisal Fee for Conventional $410 Appraisal Fee for VA $425 Flood Certification $13 if KHC orders Lender can change amount if their company is ordering MCC Fee $200 (if there is a MCC)** Closing Agent Settlement Cost** $500 or $700 ** If not auto-populated then add **

12 Additional Fees -- Non-Populated If Applicable Credit Report VOE Fee DU/LP Fee Extension Fee When interest rate extended in KHC s Loan Reservation System then it will auto-populate. A Changed Circumstance and new Loan Estimate will need to be printed Hazard Insurance Flood Insurance Final Inspection - $130 Termite Inspection Structural Engineer Inspection Home Inspection Survey Owner s Title Insurance Lender s Title Insurance TWO line items for all additional title services

13 Loan Estimate Buckets Easier to use the Buckets A thru J and Calculating Cash to Close A Origination Charges B Services You Cannot Shop For C Services You Can Shop For D Total Loan Costs (A+B+C) E Taxes and Other Government Fees F Prepaids G Initial Escrow Payment at Closing H Other I Total Other Costs (E+F+G+H) J Total Closing Costs

14 Bucket A Origination Charges Easiest way to navigate by the buckets To edit a fee click on the button The numbered section is another way to reach fees

15 Bucket B Services You Cannot Shop For Settlement Charge is $500 if Closing Agent providing Title Policy but $700 if NOT providing Title Policy

16 Bucket C Services You Can Shop For

17 Bucket E Taxes & Other Government Fees

18 Bucket F Prepaids

19 Bucket G Initial Escrow Payment at Closing Click on Pencil to add reserves for Taxes and Hazard Insurance

20 Add Annual County Property Taxes then click on Edit Escrow Schedule

21 Check the month this payment is disbursed system will automatically calculate the number of required months in reserves then Click OK

22 Click OK

23 The County Property Tax reserve is populated Do the same for Hazard Ins Reserve

24 Bucket H Other Must disclose cost

25 Bucket J Only used by TPO for a Tolerance Cure

26 Bucket K Do NOT need to go into this bucket it is for CD

27 Bucket L Calculating Cash to Close Seller Paid Closing Costs DAP GIFT Credit of Owner s Title Insurance if not purchasing

28 After completing Bucket L Click on TRID Documents Printing

29 FIRST: Make sure in DRAFT Mode SECOND: Click Get Package Docs to generate DRAFT-TRID Documents

30 Be patient it takes about 30 seconds or less to load

31 PLEASE NOTE: Lenders can print/view/edit the Loan Estimate as many times as they need to get it right as long as it is in DRAFT mode it will have a DRAFT watermark on it. Lender may select all documents or view/print/ a particular document

32 FIRST: When ready to FINALIZE: Be sure all fees are correct, because once the mode is changed to FINAL the fees are locked down unless a change of circumstance occurs. SECOND: Click Get Package Docs to generate FINAL-TRID Documents

33 Be patient it takes about 30 seconds or less to load

34 Borrower(s) signature(s) required on Notice of Intent to Proceed and Loan Estimate. Click View/Print

35 Loan Estimate You can print and change as many times as you want as long as in DRAFT mode Once in Final mode cannot make any changes unless you do a Change of Circumstance The date of the LE will be the date the LE is finalized Needs to be within the 3 days of application date, OR An earlier LE and a new change of circumstance for KHC s LE (initially went through another investor, ETC ) So review, review, review to ensure you have all fees correct. Any cost to cure will be collected from the TPO Lender

36 Change of Circumstance

37 Change of Circumstance Click on the TRID Fees tab Choose appropriate Bucket and change the applicable fee Click on Change of Circumstance Tab Choose appropriate Bucket The changed fee(s) is highlighted Choose reason for the change TRID Documents Printing Print the updated Loan Estimate, Addendum and Change of Circumstance form

38 Adding an MCC so need to disclose the $200 MCC fee. Click on the Pencil to include the fee

39 Add the $200 fee and click OK

40 Click on Change Circumstance

41 808 MCC Fee $200 When a change is made it is highlighted. Click on the Pencil to choose reason for change to this specific fee. If a change is made and is in violation of RESPA then it will show up highlighted as RED not YELLOW.

42 Reason: Lock Extension Not a Valid Reason Property Type Change Legal Address Error Property Value Change Borrower Requested Change in Loan Terms/Product Credit Qualify Change Due to New Info Received 808 MCC Fee $ Choose Change of Circumstance Reason from drop down then click OK. Then go to TRID Documents Printing

43 FIRST: Make sure in DRAFT Mode SECOND: Click Get Package Docs to generate DRAFT TRID Documents and Change of Circumstance Form

44 FIRST: Make sure in FINAL Mode SECOND: Click Get Package Docs to generate FINAL TRID Documents and Change of Circumstance Form and click on the View/Print

45 Schedule Closing

46 Closing Disclosure Provided to consumers at least three business days before consummation of the loan Does include Saturday in the counting of the 3 business days KHC is NOT open on Saturday so no mailings or closings can occur on a Saturday.

47 KHC Closing Disclosure Timeline Lender receives Approval At least 10+ business days from Approval is the soonest the loan can close Count Saturdays, but no Sundays or National Holidays KHC does not allow closings on Saturdays so if the 10 th day falls on Saturday it will close on the following Monday Pre-closing Items and Fee Sheet need to be uploaded when scheduling the closing

48 Schedule closing Can only access the Schedule Closing tab once loan is approved KHC requires 2 full business-days prior to the day the Closing Disclosure will be mailed Approval by 10 a.m. ET. for the earliest closing time Subject to availability Select preferred closing date and time Complete Fee Sheet Upload pre-closing items Submit invoices for fees

49 3-Day Closing Disclosure Rule TPO Lenders MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY Approved Pre-Closing Closing Set Must Mail KHC Disclosure Closing Disclosure Due

50 TPO Lenders Approval, Closing Set & Pre-disclosures Reviewed Wednesday Prior to Mail Disclosures Date Thursday Prior to Mail Disclosures Date Friday Prior to Mail Disclosures Date Monday Prior to Mail Disclosures Date Tuesday Prior to Mail Disclosures Date Not Available KHC Must Mail Disclosures Following Monday Following Tuesday Following Wednesday Following Thursday Following Friday Not Available Disclosures Due Following Thursday Following Friday Following Saturday Following Monday Following Tuesday Not Available Desired Closing Date Monday Tuesday Wednesday Thursday Friday Saturday Not Available Note: If a federal holiday falls in the three-day period, add a day for disclosure delivery. The three day is measured by days, not hours. Disclosures must be delivered three days before closing, and not 72 hours prior to closing.

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52 Log in to select applicable Approved Loan Once you enter Broker ID, User Name and Password click on Log In

53 Select applicable Approved Loan

54 Click on Schedule Closing Once the loan is selected then the Rate Lock Screen will appear

55 Choose Preferred Closing Date & Preferred Closing Time Select Approved TPO Closing Agent from Drop-down box. Answer Flood Certification and Termite Inspection Questions Then click on Fees

56 Add the Payee Name of all Third Party Fees, Click on the pencil to the left of the HUD Number

57 You can choose who is responsible for the fee Then click on Edit Provider

58 Enter Provider Name Then click OK

59 25.00 After Provider added click OK 25.00

60 CBC CBC shows up for the $25 Fee Continue with each applicable Payee Name the same way

61 Bluegrass Appraisal CBC Bluegrass Appraisal State Farm Once all Payee Names are entered then click on Outstanding Loan Conditions

62 These are the Approval Conditions. Some may be required to be uploaded prior to closing. KHC s Closer will let you know this. NEXT Click on the Checklist Items

63 Notes for closer may be entered Pre-closing Items that may be applicable. You will need to click on the pencil to the left of item to upload the specific item.

64 Click Select File

65 Choose file to upload for Final Typed Application

66 Once ALL documents are uploaded then click Submit Once uploaded then click on CANCEL to continue uploading other documents

67 Click Yes unless you need to upload another document

68 Once done you can EXIT Loan or Log Out

69 Schedule Closing Submitted KHC s TPO Mortgage Loan Closer Verify date is acceptable May offer other options if date not available May require additional or corrected documentation Prepares complete closing package Including the Closing Disclosure

70 KHC Sends the Closing Disclosure On the 3 rd business day, after the closing has been scheduled, KHC will mail the Closing Disclosure for both the First Mortgage and DAP to the borrower(s). All Pre-Closing items must be approved and correct or the closing date may change KHC allows 3 days for delivery 3 days from delivery the closing is set Not including Saturday closings

71 KHC TPO Closers Contact Information Michele Byer, Mortgage Loan Closer & QC Specialist Phone: ext Linda Flynn, Mortgage Loan QC Administrator Phone: ext Single Family Hotline: ext. 291

72 Mortgage Production Contact Information Cindy Bradley, Mortgage Production Administrator Phone: ext Jamie Swindler, Mortgage Production Administrator Phone: ext Single Family Hotline: ext. 291

73 Questions Comments specific questions or comments to: Jamie Swindler A follow-up will be sent with FAQ to all attendees A copy of this power-point is located on KHC s website: Lender Resource Page, in the Training Tab

74 Thank You