Comments on: A Critical Analysis of the New Good Faith Estimate http://mortgagefiduciaries.com/2009/01/a-critical-analysis-of-the-new-good-faith-estimate/ Education and Professional Ethics for the Mortgage Lending Industry Mon, 30 Apr 2012 01:41:10 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Bri Tramstrom http://mortgagefiduciaries.com/2009/01/a-critical-analysis-of-the-new-good-faith-estimate/comment-page-1/#comment-1964 Bri Tramstrom Tue, 05 Jan 2010 21:33:07 +0000 http://mortgagefiduciaries.com/?p=82#comment-1964 I truly appreciate not only the fact that you were the first site to have a PDF of the GFE, but also you have explained each section with enormous clarity. However.... One thing I have come across while applying for a loan is that banks and mortgage lenders are now requiring you to 1) lock in a rate and, 2) sign a formal agreement with them before they will give you the new GFE in writing. I have talked to 3 lenders, two write in KY and OH while the third writes in MD and VA. All 3 have given me the same story. So essentially, this means that in order to shop around, I have to pay a minimum of $300 to each lender in order to get the parameters of the loan in writing. Not to mention, I am being forced to locked into a mortgage rate before I start shopping around. Do you have any additional clarity you can provide to this new mucky mess of the latest GFE? I truly appreciate not only the fact that you were the first site to have a PDF of the GFE, but also you have explained each section with enormous clarity.

However….

One thing I have come across while applying for a loan is that banks and mortgage lenders are now requiring you to
1) lock in a rate and,
2) sign a formal agreement with them
before they will give you the new GFE in writing. I have talked to 3 lenders, two write in KY and OH while the third writes in MD and VA. All 3 have given me the same story.

So essentially, this means that in order to shop around, I have to pay a minimum of $300 to each lender in order to get the parameters of the loan in writing. Not to mention, I am being forced to locked into a mortgage rate before I start shopping around.

Do you have any additional clarity you can provide to this new mucky mess of the latest GFE?

]]> By: Steve Randel http://mortgagefiduciaries.com/2009/01/a-critical-analysis-of-the-new-good-faith-estimate/comment-page-1/#comment-1464 Steve Randel Tue, 07 Apr 2009 11:15:01 +0000 http://mortgagefiduciaries.com/?p=82#comment-1464 Hi, Every thing has been described to analyze the new good faith estimate. Many more sections have been shown to estimate the total cost and shopping for a best loan. When you compare the new good faith estimate with other loan offers you can find a best loan to choose. Nice post to read and know about all the sections and reasons to shop for a best loan. You have mentioned loan origination charges and the summary. You have provided a brief description of loans comparison from broker and lender point of view in disclosing certain price elements. Thank you, Steve Randel Hi,

Every thing has been described to analyze the new good faith estimate. Many more sections have been shown to estimate the total cost and shopping for a best loan. When you compare the new good faith estimate with other loan offers you can find a best loan to choose.

Nice post to read and know about all the sections and reasons to shop for a best loan. You have mentioned loan origination charges and the summary. You have provided a brief description of loans comparison from broker and lender point of view in disclosing certain price elements.

Thank you,
Steve Randel

]]> By: William Platts http://mortgagefiduciaries.com/2009/01/a-critical-analysis-of-the-new-good-faith-estimate/comment-page-1/#comment-1403 William Platts Fri, 27 Feb 2009 19:00:01 +0000 http://mortgagefiduciaries.com/?p=82#comment-1403 This is the best "pick apart" of HUDS work I have come across. Once again our industry has a need for more powerful input to entities such as HUD. Being new to the industry this has been eye opening as to the complex contradictions that occur when trying to accomplish transparency to the consumer of what he is getting involved in. There are just so many places where legitimate changes to the GFE can occur which then requires explaining to the consumer why so much may have changed on his GFE. It appears there is a lot of work to get the industry we work in to be understandable to all parties involved, including me the LO. I have worked in traditionally accepted "professional status" work places(engineering) requiring far more education and qualifications to work in yet were far less complex than the mortgage industry. Leaves me thinking there is a lot of work to be done. Who is going to do all this work??????? This is the best “pick apart” of HUDS work I have come across. Once again our industry has a need for more powerful input to entities such as HUD. Being new to the industry this has been eye opening as to the complex contradictions that occur when trying to accomplish transparency to the consumer of what he is getting involved in.

There are just so many places where legitimate changes to the GFE can occur which then requires explaining to the consumer why so much may have changed on his GFE. It appears there is a lot of work to get the industry we work in to be understandable to all parties involved, including me the LO.

I have worked in traditionally accepted “professional status” work places(engineering) requiring far more education and qualifications to work in yet were far less complex than the mortgage industry. Leaves me thinking there is a lot of work to be done. Who is going to do all this work???????

]]> By: Roger Ingalls http://mortgagefiduciaries.com/2009/01/a-critical-analysis-of-the-new-good-faith-estimate/comment-page-1/#comment-1380 Roger Ingalls Tue, 24 Feb 2009 22:48:15 +0000 http://mortgagefiduciaries.com/?p=82#comment-1380 Bradley: Nice job of deconstructing the mess that HUD has made of this. Especially in pointing out that this makes NO sense when the loan originator is acting in a fiduciary manner (as we all should be.) Any solutions proposed? Any sense that proposed solutions will be enacted, and what steps must be taken to get that done? Thanks for your thoughtful work. I hope it gains a larger audience. Bradley:

Nice job of deconstructing the mess that HUD has made of this. Especially in pointing out that this makes NO sense when the loan originator is acting in a fiduciary manner (as we all should be.)

Any solutions proposed? Any sense that proposed solutions will be enacted, and what steps must be taken to get that done?

Thanks for your thoughtful work. I hope it gains a larger audience.

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