TRID has only been in effect for a little over a month and its impact on the market is still not easy to measure.
According to the recent Origination Insight Report by Ellie Mae, TRID hasn’t made a significant dent in the origination process yet.
“It is still too early to see if there will be impacts stemming from the Know Before You Owe changes that went into effect just last month,” said Jonathan Corr, president and CEO of Ellie Mae.
According to Ellie Mae, the time to close loans has remained at 46 days for yet another month and the closing rate on purchased loans has stayed above 70%.
“We may begin to see time to close increase in the November data as the new closing disclosures are utilized for the first time,” Corr said.
Official TRID loans have made their way through the origination process. One of the first companies was Movement Mortgage, Charlotte-based, which successfully closed its first post-TRID loan without interruption in October.
“We are confident that these new regulations will only encourage others in the industry to do what we at Movement Mortgage have always advised our borrowers to do – Know before you owe by having a loan fully underwritten up front before the consumer begins shopping for a home,” said Casey Crawford, CEO of Movement Mortgage.
This Origination Insight Report pulls data from about 66% of all mortgage applications through Ellie Mae’s Encompass.
(Source: Ellie Mae)
Headlines from the results of the survey over the month include: “Mortgage applications skyrocket more than 25%;” compared to one week later: “Mortgage applications tumble more than 25% due to TRID.”