Document Updates: Cx38 FHA Amendatory Clause/Real Estate Certification

According to FHA Single Family Handbook II.A.1.a.i.(E)(1)(a)(i), if the Borrower does not receive form HUD-92800.5B before signing the sales contract, the sales contract must be amended before closing to include an amendatory clause.  Our Cx38 Amendatory Clause/Real Estate Certification reflects the required language.  However, we are updating the language to include an asterisk at the end of the first sentence.  This asterisk is in reference to the statement “Mortgagees must ensure the actual dollar amount of the sales price stated in the contract has been inserted in the amendatory clause. Increases to the sale price require a revised amendatory clause.”  With the asterisk, we are adding this statement at the bottom of the amendatory clause.

These changes are available for testing and will be effective October 18, 2023. Please direct questions to Client Support at 1.800.497.3584.

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The preceding is for informational purposes only and is not and may not be construed as legal advice. No third-party entity may rely upon anything contained herein when making legal and/or other determinations regarding its practices, and such third party should consult with an attorney prior to embarking upon any specific course of action.