Which items may change on appraisal reports without violating the rules?

Which items may change on appraisal reports without violating the rules?

• A. Escrow deposits, Daily Interest, Homeowners Insurance, third-party charges where borrower can shop
• B. Origination charges and Points
• C. Loan amount and Interest rate
• D. Property taxes and HOA fees

Answer: (A)

The main idea here is understanding which costs on the Closing Disclosure can legitimately change after the initial estimate without breaking the rules. Under TRID, items that depend on timing or on services the borrower can shop for are allowed to vary as you move toward closing. Escrow deposits can change because the actual property tax and homeowners insurance figures finalized closer to closing may differ from what was estimated, so the escrow portion is adjusted. Daily interest depends on the exact closing date and the final loan balance, so the per-day interest amount will be updated. Homeowners insurance premiums can change if a different policy or updated premium is chosen before closing. Third-party charges where the borrower can shop may differ based on which providers the borrower selects. In contrast, other charges are more tightly regulated: origination charges and points are subject to strict tolerances, the loan amount and the interest rate are set by the rate lock and program terms, and while property taxes and HOA fees can change over time, they’re not among those items typically treated as “shop-for” third-party charges. So the items that may change on the closing disclosure, without violating the rules, are the ones listed.

The main idea here is understanding which costs on the Closing Disclosure can legitimately change after the initial estimate without breaking the rules. Under TRID, items that depend on timing or on services the borrower can shop for are allowed to vary as you move toward closing. Escrow deposits can change because the actual property tax and homeowners insurance figures finalized closer to closing may differ from what was estimated, so the escrow portion is adjusted. Daily interest depends on the exact closing date and the final loan balance, so the per-day interest amount will be updated. Homeowners insurance premiums can change if a different policy or updated premium is chosen before closing. Third-party charges where the borrower can shop may differ based on which providers the borrower selects. In contrast, other charges are more tightly regulated: origination charges and points are subject to strict tolerances, the loan amount and the interest rate are set by the rate lock and program terms, and while property taxes and HOA fees can change over time, they’re not among those items typically treated as “shop-for” third-party charges. So the items that may change on the closing disclosure, without violating the rules, are the ones listed.