HUD's Real Estate Settlement Procedures Act (RESPA)

SUMMARY: This Statement of Policy sets forth the Department of Housing and Urban Development's position on the legality of lender payments to mortgage brokers in connection with federally related mortgage loans under the Real Estate Settlement Procedures Act ("RESPA") and HUD's implementing regulations. While this statement satisfies the Conferees' directive in the Conference Report on the 1999 HUD Appropriations Act that the Department clarify its position on this subject, HUD believes that broad legislative reform along the lines specified in the HUD/Federal Reserve Board Report remains the most effective way to resolve the difficulties and legal uncertainties under RESPA and the Truth in Lending Act (TILA) for industry and consumers alike. Statutory changes like those recommended in the Report would, if adopted, provide the most balanced approach to resolving these contentious issues by providing consumers with better and firmer information about the costs associated with home-s

R.E.S.P.A. (Real Estate Settlement Act)

RESPA   Background and Summary   The Real Estate Settlement Procedures Act (RESPA) is a consumer protection statute, first passed in 1974. The purposes of RESPA are to help consumers become better shoppers for settlement services and to eliminate kickbacks and referral fees that unnecessarily increase the costs of certain settlement services. Details about RESPA Corresponding with the above purposes:   1. RESPA requires that borrowers receive disclosures at various times. Some disclosures spell out the costs associated with the settlement, outline lender servicing and escrow account practices and describe business relationships between settlement service providers. 2. RESPA also prohibits certain practices...

posted @ Sunday, April 25, 2010 1:42 AM | Feedback (0)

New Temporary Measure Creates Flexibility For Greater R.E. Investors Contributions

HUD TAKES  ACTION TO SPEED RESALE OF FORECLOSED PROPERTIES TO NEW OWNERS Finally the federal government is starting to realize that us investors have one hand tied to our back and the other one trying to stay ahead of these new guidelines that come out almost daily.  Who said that being in the Real Estate Industry was easy?  It pays off eventually, buy you must know what you doing. Just yesterday January 15,  2010, a day after Secretary Donovan had already announced a$2 billion in Neighborhood Stabilization Program grants to local communities and nonprofit housing developers to combat the effects of vacant and abandoned...

posted @ Saturday, January 16, 2010 11:54 PM | Feedback (0)