New Regulations
For a lot of people, purchasing property is one of the biggest financial commitments they make in their life, which is why recent changes to the Real Estate Settlement Procedures Act require mortgage lenders and brokers to provide consumers with a standardized good faith estimate (GFE) that discloses a loan's key terms and settlement costs.
Though good faith estimates have been used for years, the new estimate regulates which charges can and cannot change at the time of a loan settlement, thereby preventing loan originators from adjusting certain costs after providing an estimate. In short, the GFE form is designed to help you more easily determine which mortgage is best for you.
