Archive for December, 2011

Round 2- New Settlement Statements (HUDs) Released for Comment.

Monday, December 19th, 2011

As discussed in our last blog entry the Consumer Financial Protection Bureau (CFPB) is moving rapidly to revamp the HUDs and TIL into one combined form.  The two newest versions are Mimosa and Sassafras.  Check them out.

The first page Mimosa is essential the same as Sassafras, but then the forms take dramatically different approaches in laying out the fees and costs associated with the closing.  Another major change is the increasing number of legal disclosures towards the end of both versions of the forms.

Vote on your favorite (between these two) and provide comments to help them improve the final product.  Based on what we have seen since the last round, consumers and industry comments are having an impact on the changes being made to the forms.

Settlement Statements (HUDs) to Change

Friday, December 2nd, 2011

 The Consumer Financial Protection Bureau (CFPB) has taken over regulation of the Settlement Statements (commonly known as HUDs), Good Faith Estimates, and Truth in Lending Disclosures (TIL) and other various mortgage disclosures.  (The CFPB’s explanation on why they are combining disclosures).

The CFPB is currently working on combining the HUD and the TIL into one document.  Many real estate agents, lenders, and title companies have complaints and problems with our current forms and now is time to have your voice heard.  Here are the CFPB’s first two drafts:  Hornbeam and Ironwood.  See what you think. 

It is our understanding that there will be 3 to 4 rounds of sample forms followed up with the final forms being presented in the summer of 2012 for final comment.  Our hope is these forms will ultimately remove the RESPA required disclosure of certain closing fees in a confusing manner; such as lump sum fees, fees being shifted from the seller to the buyer, and credits for shifted fees.  Check back with our blog as we will keep you updated on the release of future sample forms.