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.

Published
2025/10/09