Can a real estate closing be delayed because the Buyer has not been provided with a Closing Disclosure? In short yes.
2021 update. I will focus on the FAR BAR As-Is Contract effective 1 Nov 2021 as that is what is used in Florida for 90% of all transactions. The applicable paragraph is:
The first question is: Is paragraph 8(b) checked? Is the transaction subject to financing approval. If your reading this then I suspect it is yes. Has Loan Approval been obtained? Is the lender’s underwriting complete? One can not use this to extend the Closing for further underwriting review or because (insert story). It may only be used if the CFPB requirements are applicable AND not yet satisfied and may only extend the Closing Date for 7 days.
The CFPB Requirements state that the consumer (Buyer/Borrower) must have the CD at least 3 business days prior to the date the consumer is scheduled to sign the loan documents and note that this date may or may not be the Closing Date if the Buyer is a “mail away” closing.
Read this for the items which will require a new CD to be issued.
Note that it can only be extended as “necessary to satisfy CFPB Requirements” and then only for 10 days and that’s 10 calendar days.
