HUD DELAYS IMPLEMENTATION OF RESPA GUIDELINES 90 DAYS

We are hearing from multiple sources that the United States Department of Housing and Urban Development (HUD) will be formally announcing delaying the implementation of the new RESPA Reform rule which is scheduled to go into effect on January 16, 2009, The delay is in response to the National Association of Home Builder’s (NAHB) lawsuit against HUD that was filed on December 23, 2008. We will provide an update on NAHB lawsuit later.

The RESPA implementation delay is rumored to be 90 days from Jan. 16, 2009, meaning the new RESPA guidelines rule regarding Required Use and Section 9 of RESPA at this point will go info effect on April 16, 2009. The 90 days will give HUD 90 days to study the NAHB lawsuit.