This course is Department of Real Estate (DRE) accredited for 4 hours of Continuing Education (CE) in Consumer Protection. DRE Sponsor No. 0001
"This course was developed in collaboration with CitiMortgage and Freddie Mac to promote responsible lending and sustainable homeownership opportunities for first-time homebuyers and distressed homeowners."
The real estate industry is experiencing numerous changes and added requirements in the lender's guidelines. As a REALTOR®, it is important to have a clear understanding about how to effectively work with your lender and potential homebuyers to address the new lending paradigm, mortgage regulations, and increased processing requirements.
Equip yourself to help homeowners and potential homebuyers sustain their dream of homeownership in today's real estate market.
How you will benefit from taking this course:
Gain knowledge of how to effectively assist eligible homeowners seeking assistance through the federal Home Affordable Modification Program (HAMP), including HAFA short sale and dee-in-lieu options.
Understand how to comply with the Secure and Fair Enforcement for Mortgage Lending Act of 2008 (S.A.F.E.).
Familiarize yourself with information about the changes made to the Real Estate Settlement Procedures Act (RESPA).
Receive information about the new Good Faith Estimate (GFE) to help answer homebuyer questions.
Identify key aspects of the Residential Purchase Agreement and Joint Escrow Instructions (Form RPA-CA), mortgage insurance updates, and other important revisions.
Learn how to avoid frequent errors leading toward misrepresentation.
EXTRA: Course price includes a student manual.
Registration: To register for the Navigating through the Mortgage Process in a Changing Environment program near you, visit the C.A.R. Education Calendar.
This course covers:
The evolution of mortgages: a transition from “risk-free” to risk-based
The Federal Reserve Act of 1913 and its effect on real estate lending
The Great Depression and innovation in real estate lending
1970s-1980s: Fannie Mae's privatization and the creation of Freddie Mac establish prudent lending underwriting standards for loans not backed by the federal government.
1995-2005: A decade of growth in the housing market and a rapid run-up in values through 'risk based lending'.
The REALTOR'S® role in assisting the homeowner under HAFA
HAMP requirements before proceeding with HAFA
Homeowner's credit issues
Basic HAFA pre-listing procedures
Establishing value: the professional approach to the BPO
HAFA pricing and listing guidelines including commissions
Incentives to the homeowner and to the servicer
The REALTOR'S® role in guiding the prospective home buyer in the process.
Assessing the buyers' needs, including personal, family and financial considerations Counseling and qualifying the buyer
Understanding and identifying appropriate and responsible lenders
Secure and Fair Enforcement for Mortgage Lending Act of 2008 (S.A.F.E.)
The REALTOR'S® professional and fiduciary responsibilities to the buyer.
Understanding and identifying predatory lenders and their loans
"High Cost Loans" as defined by the federal government
RESPA and TILA: Understanding and complying with RESPA and TILA including recent changes and restrictions
Understanding the Preliminary Title
REALTOR® resources to educate and inform.
Continuing changes in real estate practices and lender's guidelines
New and nascent programs offered by both the private and public sectors
Government-sponsored enterprises (GSE) resources
Lending industry resources
NAR and C.A.R. resources, REALTOR® professional designations and other membership resources
Who should attend: Every REALTOR® in the state of California who has any involvement in the lending process.