Florida law requires that a broker provide to a borrower, at the time a broker agreement is executed between the two parties (but at least three business days before closing), disclosures that the broker cannot execute loan commitments or lock-in agreements, that the broker cannot guarantee acceptance into any particular loan program or that the loan will be based on certain terms and conditions, and a good faith estimate of closing costs and loan terms (see Fla. Stat. Ann. §494.0038).
We have been providing Cx4133 for this requirement and, pursuant to our annual state-specific disclosure audit, we will be improving the content of this document as follows (in addition to some minor cosmetic changes):
The title of the document will be changed from “Broker Disclosure” to “Florida
With the exception of the first sentence, Clause 2 of the Disclosure will be
deleted in its entirety;
A new Clause 3 will be added, which basically discloses the estimated closing
costs in a manner substantially similar to page two of the HUD-1 Settlement
Statement. This change is being made to more fully encompass all closing costs,
as well as to make it easier for a borrower to compare this estimate with the
actual closing costs, which will be disclosed in the HUD-1; and
- Current Clause 3 will be renumbered to Clause 4.
These changes will take effect on November 29, 2012. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
November 21, 2012