[mcarey]

If something shows up on the preliminary title opinion, such as past due property taxes or judgments, etc., that we were not aware of at the time of the LE do we need to re-disclose the LE?

[rcooper]

Based on what you’ve described, this seems to be a changed circumstance under 1026.19(e)(3)(iv). If it meets those criteria, you may re-disclose the affected charges.

Just a reminder that in the case of 10% tolerance category charges, the aggregate amount of those charges must increase by more than 10 percent in order to compare the final charge to the revised amount. If it the change doesn’t cause the 10% tolerance category charges to increase by more than 10%, you may still provide a revised LE for the customer’s benefit but you can’t compare the final charge to the revised charge – it would be compared to the charge originally disclosed.

[Sandy]

If none of the fees are affected/changing by adding the past due bill to be paid or say a judgment lien that will be paid from the closing is there still a requirement to redisclose the Loan Estimate? I know this would be a changed circumstance but it could not even change any of those fees but it would change the cash to close amount.

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