TRID: Disclosing Construction Loans

Does disclosing construction loans in accordance with the TRID requirements have you down? We wouldn’t be surprised as it can get quite confusing. We recently held a webinar, “TRID: All About Construction Loans”, that can help get you on the right track. Here is what a few of our attendees had to say:

  • Great refresher and thank you for the detailed walk through of calculating / disclosing various scenarios.
  • Very useful, especially the parts of TRID that didn’t exactly fit with construction loans.
  • Neither of you (Jerod and Diane) are allowed to retire before I do… the information you give is too valuable!!!

We also received a lot of great questions. Remember that when you attend one of our webinars live, you have the ability to submit questions that will be answered in writing. Here are a couple examples:

Question: When there is a lot purchase to construction, like Scenario A on page 7, does there need to be two Loan Estimates sent if it's all one transaction/loan?

Answer: No, if you’re doing a single, closed-end loan with multiple advances, it can be disclosed with one Loan Estimate, even if you know there will be an initial advance for the lot.

Question: Do we identify in the Payoffs and Payments section (page 3 of the CD) construction proceeds for the build process?  This is the section where loan payoffs and specific funds disbursement are identified.  But what about funds not disbursed until draw requests?

Answer: Yes, the Payoffs and Payments Table is used to identify third-party payments that will be made from funds advanced at closing as well as those construction costs that will be made during the build process.

TRID Training!

Published
2025/10/09

Diane Dean

Diane joined Banker’s Compliance Consulting with over 10 years of compliance experience and over 15 years of experience within the financial industry. Diane is a Certified Regulatory Compliance Manager (CRCM) and has a Bachelor’s Degree in Sociology with a concentration in Criminal Justice. She is a graduate of the Schools of Banking Compliance School and has participated in various other training opportunities throughout her career. Diane understands firsthand the struggles banks face in building and maintaining successful compliance programs. Her experience and common sense approach to consumer compliance is a great asset to our clients. Diane and her husband have two kids who keep them busy. She enjoys running and other sports and is a big Bugs Bunny fan! She’s a bit crazy in that she does enjoy reading some of these regulations and she’s a “crazy cat lady!” Her cat tales are hilarious!

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