TRID Question re: Closing Disclosure
We have a purchase transaction where the Purchase Contract indicates a $5,600 future assessment from the HOA and the Seller is going to pay it - give a seller credit. The catch is that (I guess) a ballot is being sent out to all of the unit owners on whether or not to approve this special assessment. The HOA expects that it will pass, but the vote isn't for 2 weeks which will be after our loan closes. Escrow (our loans close through escrow) is giving the seller credit as part of escrow even though the vote has not taken place. For our closing disclosure, I see some options. Since this is a future fee (unknown but pretty sure it will be assessed), we leave assessment (and the seller credit) off our CD entirely. OR, we disclose the special assessment in Section H (Other) with it showing as paid in the Seller Paid Before Closing column. (If it is voted down, the seller and buyer can work that out.) Or, we allow the Seller Credit as a General Seller Credit in Section L which will reduce the Cash to Close. Then if the assessment is passed, the Buyer then pays out of pocket since he has received the credit already. We're thinking about going with the last option so that the Cash to Close amount is more accurate. Any thoughts on that?