In an update to the “Know Before You Owe” mortgage rule, the Consumer Financial Protection Bureau stated clearly that it is “usual, accepted, and appropriate” for real estate agents and brokers to have access to the Closing Disclosure.
The National Association of Realtors® cheered the announcement, having pushed vigorously for the clarification. In a statement, NAR President William E. Brown said he hopes the change will encourage greater cooperation between all parties involved in real estate transactions.
“Consumers depend on their real estate agent to help guide them from pre-approval to closing, but that job is significantly harder when an agent is denied access to the closing disclosure,” said Brown. “The CFPB has again made clear that lenders may share disclosures with third parties, including real estate agents. This was common practice for years in advance of Know Before You Owe, and Realtors® are eager to see that cooperative atmosphere take hold once again.”
In an NAR survey released in October, nearly half of Realtors® reported challenges gaining access to the closing documents.
More information on the CFPB announcement is available in their press release.