OH, that is too funny! Hey, can I get any royalties from the sale of that poster? I could use them to offset my increased expenses for Tums.

I've been thinking about this a lot. I believe you are doing 1 settlement and have 2 loans (80/20). All fees have to be shown, but not on BOTH HUD-1s. List all fees on the 80% financing loan and then only list fees specific to the 20% loan.

If you don't do this and you are outside of tolerance, you have to reimburse them twice for the same error. If you list a credit on the 2nd loan and fees come in lower, you have to give them the credit (since you can't reduce Block 2/802).

Ok,so I understand if once the rate locks, origination fees in Block 1 change this is ok even if the customer decides to lock his rate during the original 10 day period?

Look at the details of the important dates, #1. then look at the languge in #2 (all OTHER).

If I come in and apply today and you guarantee my rate for the next fifteen minutes, anything regarding that information can change at 15.1 minutes later. Everything ELSE, however, has to be good for 10 days.

then, if they lock in 2 days later, you do a new 10 days and adjust your other blocks now that you have the info you need for 3 & 4. Nothing else in the 10-day part can change, except what was affected by the rate lock, unless you have additional changed circumstances.

Thanks, I just made this my desktop wallpaper : )

That is awesome. Thanks for sharing.

Mine is now hanging proudly on my door just under the "do not torment, etc, the CO" sign.

Okay, one more time. With a valid change of circumstance can the credit on page2 block 2 box 2 of the GFE change if the change of circumstance is related to the loan amount after the rate is locked?

loan amount and based on a percentage, yes.

We just prepared our first HUD1-A for a bank paid closing cost HELOAN. What a nightmare!

BYTE doesn't have the HUD1-A ready yet in their software, so I tried to use the one from HUD...thinking it was a PDF fill-in form...but it's not fillable. So, we make a copy of it and type everything in.

In the process, we found that the mortgage recording fee was $8.50 more than disclosed, which represented a 15.3% increase in the fee! Since it was bank paid closing costs anyway, we just left it the way it is ... showing a 15.3% increase in the fee on page 2 of the HUD1-A.

Did anyone notice that the HUD doesn't have a place for the borrowers signature? So, we typed in a place on the bottom of the form...thinking surely they want the borrower to sign it!?

There is intentionally no place to sign it and according to HUD, you are not supposed to add signature lines.

raitchjay, actually, if you look at 3500.9 of HUD's Reg X, the addition of signature lines is a permissible change on the Settlement Statement. You are expressly not permitted to add signature lines to the GFE.

Thank you for the clarification.

Why on earth would they not have signature lines on the HUD?

Let me ask another question...let's say the HELOAN was NOT bank paid and instead the borrower was paying the closing costs.

Would the fact that the recording fee went from $55.50 to $64.00, representing a 15.3% increase really cause us to have to re-disclose and delay closing (or eat the cost - which is what we would likely do)?

I almost wonder if we should over disclose on recording fees, just in case someone has a monster legal description, which will cost an extra $8.50.

I would ALWAYS get the Settlement Statement signed. It's a closing document.

You can't add signature lines to the GFE??

AKAnan - No, the GFE is a standardized form and may not be altered for signature lines. Refer to the FAQs under the General topic, page 9, questions 27 & 28.

Hope this helps!

Customer usually want us to overnight funds to payoff a loan at a 3rd party bank to avoid paying additional interest. The bank does not require this. Will this fee have to be in our origination charge, even if we are not requiring this service? If it doesn't go into our origination charge, where do we put it?


HUD-1 – General
1) Q: How are courier and overnight delivery fees shown on the HUD-1 Settlement Statement?
A: Courier and overnight delivery fees are considered to be fees for administrative or processing services. They are part of a primary service, such as the origination service or title service, and may not be separately itemized.

Love it. I have it as my background on computer! Thanks!

ahou, you are not requiring it so it will go in the 1300 section of the HUD (miscellaneous customer junk)

Did your total of all 10% items exceed 10%? Those items don't stand alone, it's an aggregate.

As far as delaying closing, it really shouldn't. It will be shown as a correction with you "eating" it and you go ahead and close. You will or should know this well in advance of closing in order to get the corrections made.

Curiously tho. How are you using a HUD-1A on a bank-paid closing cost loan..there's no 200 section.

Our bank charges a $25 insurance non tracking fee on every real estate loan that goes to pay an annual insurance premium the bank has purchased. We show it as paid to the bank on the HUD even though it will be forwarded on to a third party eventually. Would this go in block 1 of the GFE or block 3?

I will assume this is a service similar to a Tax Service fee. That charge would go in Block 3 and on the HUD you would have to identify the party the $25 is paid to. It would also be a PPFC.

If it's actually going to a 3rd party (eventually), you should be showing that in Block 3 and name the eventual party i the Paid to: on the HUD.

On the HUD, where are others listing the upfront MIP and VA Fundign fees??

Harland is telling us to report on line 902, which I am cautious of, but I cannot find a more reasonable place for it.

Jay, we are putting the upfront MIP in 902, but the VA funding fees, FM fees, we are putting in 808-813.