Saturday, January 5, 2008

Uniform Closing Instructions - Part 1

In the first part of 2008, many lenders should begin implementing the Uniform Closing Instructions (UCI). The instructions are intended to provide a clear and consistent step by step process in handling loans from beginning to end. There's been a lot of debate about these instructions; will anything really change, how effective will they be, who's really going to follow them. Many of us have high hopes that these instructions, if done properly, could make the closing process a much smoother experience. But some people have their doubts as to how widespread these instructions will be utilized. Based on those that participated in the presentation of these instructions, the expectation is that these instructions will become the industry norm. The list of participants included key figures from the following companies and organizations:

Mortgage Banker Association (MBA)

Wells Fargo Home Mortgage

Countrywide Home Loans

American Escrow Association

American Land Title Association (ALTA)

First American Title Insurance

The instructions can be downloaded at the MBA website. Any comments or suggestions can also be submitted via the MBA website, and should be sent by January 30th, 2008. I'll be posting a general summary of the UCI as it affects signing agents later in the week.

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