A construction-to-permanent loan's construction phase experiences a 45-day delay due to weather, affecting the interest rate conversion date. The lender wants to issue a revised Loan Estimate. This delay:
Correct Answer
A) Constitutes an extraordinary circumstance beyond anyone's control
Under 12 CFR 1026.19(e)(3)(iv)(D), extraordinary circumstances beyond the control of any interested party that affect the loan terms constitute a valid changed circumstance. Extended weather delays affecting construction timelines would qualify as such extraordinary circumstances.
Why This Is the Correct Answer
Under 12 CFR 1026.19(e)(3)(iv)(D), extraordinary circumstances beyond the control of any interested party that affect the loan terms constitute a valid changed circumstance. Extended weather delays affecting construction timelines would qualify as such extraordinary circumstances.
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