HUD is educating consumers on how changes in the interest rate can effect monthly mortgage payments and settlement costs.
Application Inaccuracies=credit worthiness, amount of loan, estimated value of the property…Unforeseen Title Curative Requirements (boundary disputes, need for flood insurance, environmental problems…)
The Next Generation of Real Estate Closings
RESPA REFORM A Realtor's Guide to Understanding the Revised GFE & HUD-1
The origination charge (Line 1) consists of all Lender Administration Fees.
Credit or Charge for Borrowers interest rate (Line 2)
GFE – PAGE 2: B Block 3: Required services selected by the Lender- Listed by Service and Charge
Disclosure needed for affiliated businesses
Block 4: Lender provides fee estimate for title services & its title insurance.
Fees may not increase by < 10% in the aggregate unless the Borrower chooses their own.
$730.00 Block 5: Owner’s premium calculated by taking the amount of the policy plus the issue fee before deducting the amount for the “stand-alone” lender’s policy. Block 6: These are disclosed in 1300’s on HUD-1
Example: survey, if required by Lender
GFE – PAGE 2B Block 7: State and local fees to record loan & title documents. Block 8: Amount charged for state & local fees on deeds /deeds of trust (Zero tolerance). Block 9: Covers hazard & PMI insurance, property/sewer/water taxes, etc. Variable according to settlement date. Block 10: The dollar amount per day multiplied by number of days; this will change depending on final settlement date. Block 11: Agent chosen by Borrower; amount depends on coverage & company. Subtotal B: Add to fees charged by the lender to obtain the total estimated settlement charges.
The GFE is compared to the final figures on the HUD-1.
The settlement agent, using the GFE information provided by the Lender, completes this form. This page carries over GFE disclosures except last item is added to detail the actual amounts of the escrow account. Buyer refund:
Difference between the amount variation exceeds tolerances the 10% tolerance threshold.
Owner’s Title Insurance HUD: “If a title claim occurs, it can be financially devastating to an owner who is uninsured”. “If you want to protect yourself from claims by others against your new home, you will need an owner’s policy”. * Shopping for Your Home Loan HUD's Settlement Cost Booklet. Pg. 20
If you can connect to the internet, you can check the status of your deal See received documents, review them yourself, or help your client with their review. No more playing phone tag to check the status of every moving part of a deal!
Wordpress. Great starting blog platform. Inexpensive. Need some technical knowledge to set up.
Active Rain. Established platform for Realtors. Good SEO.
Get a unique URL like www.newtonmahomes.com, instead of using Wordpress URL. Make your blog a stand alone entity. Better for SEO. Do link your blog to your website. Header Art: If Do It Yourself, invest in some nice looking header art, or hire a blog designer. Better looking, better designed blogs attract more readers and traffic. Have an About Me and Contact pages. Key for business generation. Do guest blog posts for your favorite lender, home inspector, attorney, mover, etc.
Creating a Killer Realtor Blog Must-Have “Widgets” and “Plug-ins” Optimize your blog! RSS (Really Simple Syndication) Feed. A must! Google Feedburner is a good choice. Share Button. Email Subscription. Google Feedburner offers free service. Can track subscribers, and capture their email addresses. Twitter and Facebook integration. Stats: Set up Wordpress Statistics or Google Analytics