[kmeade]

When a loan does not close within 30 days of the title opinion being prepared, attorneys are charging an additional $150.00 to update the title opinion. The title insurance company will not accept the title opinion if it exceeds 30 days. The borrowers can shop for this service, and the attorneys are listed on the ‘service you can shop for’ list given with the early disclosures. If the increase exceeds the 10% tolerance, can tolerance be reset by redisclosing, or would this be a case where a lender’s credit is used to cover the tolerance amount?
Receiving an updated title opinion is a common occurrence that happens on a majority of loans. There are different causes for the delay, but the borrower is not responsible for most delays.

[rcooper]

It doesn’t sound like a changed circumstance so I would say you need to comply with the tolerance cure requirements. If there is something that you think qualifies this situation as a CoC let me know.

[kmeade]

Thank you, that is what I thought. I just wanted to make sure.

[Author]

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