Harlan B. Griswold III’s Blog

An article in the Sunday paper of the Contra Costa Times, written by Kenneth Harney (Nation’s Housing), writes about a loophole in the new lending regulations, allowing them to not give a good faith estimate upon a new loan application.    http://www.contracostatimes.com/search/ci_14193760?IADID=Search-www.contracostatimes.com-www.contracostatimes.com

He suggests that loan brokers are taking advantage of this “mistake” in the new regulations, to not disclose fees.  However, it appears that this is another example of the unintended consequence of new laws, once again turning out to be counter-productive.  Read the rest of this entry »

On July 30, 2009, a new law is being implemented by loan regulators, which has increased disclosure requirements for lenders.   It is called the Mortgage Disclosure Improvement Act.   (MDIA)   The intent of this bill is to tighten up lender disclosures (from application to closing), so there will be no surprises while signing the closing loan documents.   While the goals of this rule seem laudable, it may have some unforeseen consequences. Read the rest of this entry »