The United States Housing and Urban Development's RESPA Department unleashed their new HUD-1 Settlement Statement today. The new HUD-1 doesn't change too much in format on the 1st page but its the 2nd and 3rd page that does.
Sections 100, 200, 400, & 500 don't have any changes from the previous HUD-1.
Sections 300 & 600 do break down "Gross amount due" and "Less amounts paid". I don't foresee these two sections as controversial.
Section 700 of the HUD was not modified or changed.
Sections 800, 900, and 1000 will be discussed later in conjunction with the GFE and the 3rd page of the new HUD-1. Its clear from page 3 of the new settlement statement that HUD has enacted price controls of no more than a 10% deviation. This will be extremely controversial and will likely cause most of the trade associations to file suit against HUD for overstepping its congressional authority by enacting price controls.
Continue reading "
RESPA REFORM RULE'S NEW HUD-1 SETTLEMENT STATEMENT INITIAL ANALYSIS