FINANCIAL SERVICES COMMITTEE MOVES TO SUSPEND NEW GOOD FAITH ESTIMATE (GFE) AND HUD-1 SETTLEMENT STATEMENT

The Financial Services Committee for the House of Representatives voted to suspend the implementation of the new Good Faith Estimate (GFE) and Housing and Urban Development (HUD-1) Settlement Statement. The committee voted to amend the Mortgage Reform and Anti-Predatory Lending Act (H.R. 1728) because the Federal Reserve Board is coming out with a new Truth-in-Lending Act (TILA) disclosure. Many in the industry are concerned that the new TILA disclosure will not integrate properly with the new HUD-1 and GFE. The bill will soon go to the full House and the Senate has its own version it will be pushing. So it looks like the new GFE and HUD-1 will have to wait until the TILA is finalized by the Federal Reserve Board.

The Real Estate Services Providers Council, Inc. (RESPRO) has more information on the House committee action.