Get real about real estate: TRID replaces the old HUD

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Dear Michael: I live in a condominium and I want to install a satellite dish. Does the HOA have the right to deny me of a satellite dish, are there any restrictions that the HOA can impose?

Answer: The FCC (federal communication commission) states that an HOA has the authority to restrict satellites on common areas, such as a walkway, hallway, community garden, exterior wall or the roof. However, you may install the dish within a balcony, deck, patio, or other area where you have exclusive use. The roof of a condominium is not area reserved for an individual’s exclusive use therefore it is referred to as common area. Given that the roof is common area, you may not install a dish unless the condominium association gives you permission.  Many associations will allow residents to install satellite dishes on the roof but will have specific guidelines which residents must follow.

Dear Michael: We are delayed on our close of escrow. The lender is blaming this on the new TRID law that was just passed. Can you please give me some insight to the new TRID regulation and tell me how it affects and delays the close of escrow?

Answer: The new TRID (Tila-Respa Integrated Disclosures) rules and forms took effect on October 3, 2015. The new TRID replaces the HUD. When there is a major change in the way real estate is conducted, it affects everyone involved in a transaction. The new changes to the loan process includes mandatory waiting periods (intended to protect the consumer). Lenders must now give a 3 days’ review period so the buyer can review the new CD (Closing Disclosure). This 3-day review is mandatory. If there are any changes to the buyer’s CD then the 3-day period must start again. In order to get the forms submitted by the new deadlines lenders must allow more time in their internal process. The change in regulation brings more responsibility, delays and burden on the lender, but the increased clarity of the transaction benefits the borrower. Buyers should expect slightly longer escrow period for at least the first 90 days of the but things should get easier in 2016 as lenders will get accustomed to closing TRID loans.

Dear Michael: I am selling my house and was supposed to close escrow 2 weeks ago. The buyer’s lender keeps on giving us the run around and telling us they are swamped! What is our right? We can’t go on waiting forever.

Answer: The new TRID regulation which replaces the HUD has many lenders backed up and behind schedule. Although unlikely, It is also possible that your buyer no longer qualifies for the loan. If you are in a rush to close escrow and are willing to cancel your transaction you can submit a “Demand To Close Escrow”. Once received the buyer has 3 business days to close escrow. If on the 3rd business day of the demand, the buyer cannot close escrow then you can cancel the agreement. You can also extend your demand if you find out after submitting the original demand that the buyer is within reach of loan approval. If the buyer has removed all contingencies and you decide to cancel after the 3 days’ demand, then the faith of the buyer’s deposit is in your hands. Keep in mind that in order for the deposit to be released to you, the buyer would have to sign off and accept. If buyer refuses, then your next step is mediation followed by arbitration. Please consult with a real estate attorney.

Michael Kayem is a Realtor with Re/max Estate Properties serving Culver City and the Westside since 2001. You can contact Michael with your questions at 310-390-3337 or e-mail them to him at: homes@agentmichael.com