RESPA Guidance Needed

Answered by:

Question:

I am at a financial institution which uses the terminology "property evaluation" on the GFE and "appraisal" on the HUD. Although they give the price ranges, I believe these to be inconsistent with guidance provided. Am I correct? Also, are borrowers still required to sign servicing disclosures with the implementation of the new RESPA regulation changes?

Answer:

There is nothing in RESPA that says you must use the same terminology. I think it's a good idea (and you must too), but it's not a requirement. My question is "Why do they do this?"

As for the Servicing Disclosure, it no longer heeds to be signed.

First published on BankersOnline.com 7/27/09