VA Issues RESPA Statement

Submitted by mschuster on Mon, 01/11/2010 - 2:54pm
in

Last Thursday, the Department of Veterans Affairs issued a long awaited statement regarding the impact of RESPA. View the VA RESPA Impact Statement here!

Comments

VA Non-Allowable Fees

Submitted by Trisha on Tue, 01/19/2010 - 2:26pm.

Mary,
I have had numerous questions from lenders asking how the title company will be showing VA non-allowable fees on the new HUD1. I have not seen any specific instructions on this topic and am hoping that you can help. If the real estate contract reads the seller will pay the non-allowables, will we reflect them on the buyer's side on page two then credit them back to the buyer on page one in the 200's? Or show them on the seller's side?
Or is there another answer we have not thought of.
I think loan originators may be having a hard time on how to disclose the non-allowables on the GFE, too.
Thanks
Trish

VA Non-Allowable

Submitted by mschuster on Tue, 02/23/2010 - 10:23am.

We've seen no consistency here - but I will go out on a limb and share my thoughts (which will be viewed by many as wrong). Utimately, you need to follow the lender. However, in answering this question, I must ask the following question: Would VA Non-Allowables be quoted to the borrower's GFE? I don't think so. If they are not, then they would not appear in the borrower's column of the HUD-1. My belief is that if they do not appear on the borrower's GFE, then it is okay for them to appear in the seller's column on the HUD-1.

VA Non-Allowable Fees

Submitted by watsnikki on Wed, 01/20/2010 - 10:36am.

I have had the same questions reagarding how to show the VA non-allowables on the HUD. I have read the recently released statement from VA, but cannot find this particular question addressed. I would love some insight on this. Thank you.