Opinions on the new Real Estate Settlement Procedures Act rule vary widely. But regardless of individual positions, plenty of resources have been developed to help mortgage firms comply with the new rule.
In a recent speech, Federal Housing Administration Commissioner and Department of Housing and Urban Development Assistant Secretary for Housing David H. Stevens said that one of the most important aspects of his job is RESPA oversight. He noted that the new RESPA rule is “a very important and well-crafted rule.”
Stevens said a revised Good Faith Estimate under the new rule will hold originators accountable for their original loan offer and enable borrowers to better shop for a loan.
“I’m sure this rule won’t satisfy everyone — that’s one reason we are working with the Federal Reserve to ensure that their proposed changes to the Truth In Lending Act are harmonized with RESPA reform,” the FHA commissioner stated. “And we are aware of your concerns as you work to upgrade your own origination and settlement systems.”
Among those unhappy with the rule are mortgage brokers.
The National Association of Mortgage Brokers recently called on HUD to withdrawal its final RESPA rule because of disparity in the disclosure of indirect compensation earned by mortgage brokers and mortgage bankers. But NAMB praised the fed’s proposed Regulation Z changes that would require equal disclosure for these fees.
A tool kit from Wolters Kluwer Financial Services helps mortgage lenders comply with RESPA rule requirements that take effect on Jan. 1, an Aug. 18 announcement indicated. The tool kit includes help developing streamlined RESPA policy, employee training and an implementation guide.
Earlier this month, HUD released a set of frequently asked questions for the RESPA rule. The FAQs were praised by the American Land Title Association, which noted that it formed a RESPA implementation taskforce to analyze and interpret corresponding sections of the RESPA rule.
