Financial institutions continue to struggle with residential construction loans. The CFPB has had different points of view since the inception of TRID, which has further complicated the process. There are pros and cons to construction-only versus construction-to-permanent financing and issues that financial institutions need to consider for each, including real-life implications. This, coupled with TRID disclosure issues, make construction and construction-to-permanent lending a potentially difficult proposition. In addition, sometimes secondary market lenders exacerbate the problem with their own rules. This webinar will delve into the disclosure requirement issues and real-life implications using the latest CFPB information and industry best practices.
- The decision – construction followed by a permanent loan, construction/permanent loans with one disclosure, or construction/permanent loans with two disclosures. Are all legal? Which is best for you?
- Finance charge issues of construction or construction-to-permanent loans
- Issues with construction delays and completion later than the original maturity date
- Disclosure issues surrounding each possible construction loan method
- Potential impact of secondary market rules
- TAKE-AWAY TOOLKIT
- The manual will offer a guide to construction lending, so that no matter what decisions an institution makes, participants will have implementation aids
- Employee training log
- NEW – Interactive quiz
WHO SHOULD ATTEND?
This informative session is designed for staff involved in the construction loan process, including decision-making and completing the loan process. It will benefit all levels of management, lenders, and processors.
SPEAKER: Bill Elliott, Young & Associates, Inc.
Bill Elliott has over 35 years of banking experience. As a senior compliance consultant and manager of the compliance division with Young & Associates, Inc., Bill works on a variety of compliance-related issues, including leading compliance seminars, conducting compliance reviews, conducting in-house training, and writing compliance articles and training materials.
Bill’s career includes 15 years as a compliance officer and CRA officer in a large community bank, as well as working at a large regional bank. He has experience with consumer, commercial, and mortgage loans, and has managed a variety of bank departments, including loan review, consumer/commercial loan processing, mortgage loan processing, loan administration, credit administration, collections, and commercial loan workout.