good faith estimate: Simplified Disclosures... Problem Solved?
- 03/17/08 01:11 AM
HUD released a new RESPA reform proposal which includes a standardized Good Faith Estimate. Technically this is an old reform proposal as they attempted the introduction of the 3-page GFE in 2002, but where met with heavy resistance. They estimate this could save borrowers an average of $668 at settlement or $8.35 billion per year. The new GFE would include: the interest rate, monthly payment, loan terms, origination charges, settlement charges, and disclosure of any yield spread premiums. Here is a sample of the new GFE: http://www.hud.gov/offices/hsg/sfh/res/200803/5180HUD1.pdf HUD believes the new GFE would make it easier for borrowers to shop around. The savings that borrowers will receive … (2 comments)
HUD released a new RESPA reform proposal which includes a standardized Good Faith Estimate. ;)
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