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Home Inspection Invoice-Itemize on Estimate

Question: 
Should the bank itemize on the Loan Estimate a home inspection invoice that itemizes a termite inspection?
Answer: 

by Randy Carey:

How do you have an invoice when you issue a LE???

Answer: 

by John Burnett:

I share Randy's surprise that you might have an invoice so early in the transaction. But assuming that there is such an invoice and that you believe, based on the best information available at the time you complete the Loan Estimate, that the applicant/borrower will pay for the inspection, you would include it on the LE.

If it's a service that you as lender require the borrower to pay for (unlikely), you would include it in section B (since there's no shopping involved). Otherwise, it would go in section H.

If the termite inspection is something the consumer decided to have done (or agreed to have done) after you delivered the initial LE, you would not need to deliver a revised LE to include the cost, because it's not a lender-required service and therefore not a changed circumstance.

First published on 03/19/2017

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