12 CFR § 1024.20, which takes effect on January 10, 2014, requires a lender, mortgage broker, or dealer to provide to a loan applicant, within three business days after receipt of a loan application, a list of homeownership counseling organizations which are located closest to the applicant….
In connection with our conventional loans, we provide duplicates of the uniform promissory notes published by the Federal National Mortgage Association (FNMA) on their website (https://www.fanniemae.com/singlefamily/notes). Each of these notes provide a footer stating the name of the document, the form number,…
The Louisiana Mortgage has been updated to match the most recent model form published by the Federal National Mortgage Association (FNMA). Updates include updated RESPA citations which, while they do not appear on the model form, are authorized by FNMA’s instructions for the new model form….
According to FHA Single Family Handbook 4155.2 ch. 6.B.2, security instruments for loans to be insured by FHA must be based on the FHA Model Mortgage Form (found in Ibid. ch. 12.A.1), with modifications as set forth by FHA….
For loans with closing dates on or after January 10, 2014, premiums for most credit insurances are generally prohibited from being financed into a loan, to wit:
“(1) A creditor may not finance, directly or indirectly, any premiums or fees for credit insurance in connection with a consumer credit transaction secured by a dwelling (including a home equity line of credit secured by the consumer’s principal dwelling)….
Wash. Rev. Code Ann. § 60.04.255(1) (West 2013) requires every real property lender to provide a copy of the informational material described in Ibid. § 60.04.250 “to all persons obtaining loans, the proceeds of which are to be used for residential construction or residential repair or remodeling.” A “real property lender” is defined as “a bank,…
Fla. Stat. Ann. § 494.007, while not requiring a commitment to be issued, does stipulate that “if a commitment is issued,” such commitment should contain certain disclosures, such as its expiration date, the face mortgage amount of the loan, the amount of any commitment fee (and whether it is refundable),…
For loans guaranteed by the Department of Veterans’ Affairs (“VA loans”), when the income from a non-military employed person is used to qualify for a loan, 38 CFR § 36.4340(f) and VA Lender’s Handbook ch. 4, 2-e require a lender to verify that such person has been employed by their present employer for at least two years….
An “Information Document” is required under Ohio Rev. Code Ann. § 1345.05(a)(4) & (G) and Ohio Admin. Code 109:4-3-29 is to be provided to borrowers at the time of applying for a loan, or within 5 days of application if such is not made in person….
Cx374 is the FHA version of Cx321, the FNMA/FHLMC Iowa Mortgage security instrument. In keeping with our practice of maintaining optimal document consistency, we have added signature lines on FHA Cx374 under Non-Uniform Covenant 21, Homestead Exemption Waiver. This will mirror the signature functionality that we currently have on FNMA/FHLMC Cx321 under the Homestead Exemption Waiver,…
Cx3095 IRS Form 4506-T Request for Transcript of Tax Return has been updated to match the September 2013 version of the form. Estimated processing time disclosed on the form has been reduced from 30 calendar days to 10 business days….
Per ML 2013-29, for FHA-insured refinance mortgages with case numbers assigned on or after November 1, 2013, the lender must obtain the borrower’s written permission before unused borrower funds from an escrow account on an existing mortgage can be applied to the newly originated loan instead of giving the money directly to the borrower….
Certain Maine disclosures have been updated pursuant to our ongoing state disclosure audit. Cx3279, ME Right to Own Attorney Disclosure, has been updated with new language to make the form more clear and to specify to whom the selection is certified on the form….
The “Instructions for Completing HUD – 1 and HUD – 1A Settlement Statements,” found on the HUD website (http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/ramh/res/resappa), states that:
“The HUD – 1A settlement statement is to be used as a statement of actual charges and adjustments to be given to the borrower at settlement,…
As an extension of our continuing security instrument audit, and as a result of DocuTech’s ongoing commitment to being a leader in mortgage-industry compliance, we are initiating a comprehensive update to the notary acknowledgment language on our security instruments.
Although current acknowledgement language in use by DocuTech is legally compliant,…
Cx13190 and Cx16407 are given prior to or upon making a high-cost mortgage loan (HCL) or a higher-priced mortgage loan (HPML), respectively. The purpose of these documents is to demonstrate that the borrower receives a reasonable, tangible net benefit from the new loan,…
Cx7924, Section 184 Individual Allotted Trust Land Rider (No Lease), has been updated with minor changes to reflect the new HUD model form 50120 released in February of this year. The date in the footer has been updated and relocated to the right side of the bottom margin to reflect the model form….
New Documents
CO Commitment Agreement (Cx17939) – We will be providing a new commitment agreement pursuant to the provisions of Colo. Rev. Stat. Ann. §§ 12-61-915(2), 38-10-124, & 38-40-102(1) (West 2013). Of these three provisions, Section 38-10-124 is the more restrictive and requires (in part) the following:
“(2) ….
Mass. Gen. Laws Ann. ch. 183A, § 4(5) (West 2013) requires, in relevant part, that “each mortgagee holding a recorded mortgage upon a [condominium] unit shall give written notice of the mortgagee’s name and mailing address to the organization of unit owners,” in order for the mortgagee to receive notices concerning changes affecting the unit,…
When a creditor desires to verify the social security number (SSN) of a loan applicant, he may do so by submitting to the Social Security Administration an executed copy of the “Social Security Administration Authorization for the Social Security Administration (SSA) to Release Social Security Number (SSN) Verification” form (SSA-89),…
