Is “closing” of the loan defined as the date the documents are executed or the date the funds are disbursed?
For this requirement, we define “closing” as the date the borrower executes the loan documents. • Borrowers must be provided with a copy of the appraisal at least three days prior to closing unless the borrowers sign a waiver stating that they do not wish to receive a copy of the appraisal. When do borrowers need to waive this requirement; can it be at loan closing? No. The Code requires that the lender provide the borrower with a copy of the appraisal report at least three days prior to the loan closing unless the borrower waives the requirement. Although the Code does not explicitly require that the borrower waive this requirement three days prior to the closing, waiting until closing to have the borrower waive this requirement is not within the spirit of the Code and thus, Freddie Mac does not view this as a permissible practice.
Related Questions
- How is "closing" of the loan defined? Is closing the date the documents are executed or the date the funds are disbursed?
- Is "closing" of the loan defined as the date the documents are executed or the date the funds are disbursed?
- Is "closing" of the loan defined as the date the documents are executed or the date the funds are disbursed?
