TRID’s impact on the real estate process has been minimal, though agents are still experiencing some problems with their clients’ documentation, according to a new survey from the National Association of Realtors.
Just over 10 percent of Realtor transactions, NAR reported, have been delayed since TRID’s Oct. 3 implementation, but less than 1 percent of transactions have been cancelled; the typical delay is only 8.8 days.
How Agents are Adjusting to TRID
NAR found that agents have made numerous tweaks to their business to accommodate the new disclosure requirement in TRID, including:
- Adjusting purchase agreements with longer contract horizons, which 56.2 percent of surveyed agents enacted
- Sharing contracts/amendments sooner with lenders, title insurers and closing agents (31.5 percent of agents)
- Developing a plan with lenders/title agents to smooth the TRID transition (27.7 percent)
- Having inspections performed earlier (24.9 percent)
- Adjusting the purchase agreement with new contingencies (21.4 percent)
Trouble in CD Paradise
Even after making changes to their business to accommodate the changes, some agents still reported problems. According to NAR, 54.5 percent of respondents experienced issues in getting closing documents (CD) for their transactions, with 14.2 percent having issues for all their transactions, 12.2 percent for most and 28.1 percent for all.
A similar share of agents (54.1 percent) reported encountering errors in their CDs. The most common CD error was a missing seller/buyer concession, which 53.3 percent of respondents reported. Also common was missing an agent concession, at 37.2 percent, and missing a client’s name or information, at 18.3 percent.