Skip to content
GeoDataVision
Thread Options
#1468473 - 11/16/10 07:45 PM Rental Property - RESPA
pacar Offline
Gold Star
Joined: Jul 2007
Posts: 320
I'm reviewing a loan file that closed in August of this year. It's a consumer who purchased a home to be used as rental property, so Reg Z and RESPA do not apply since it is classified as a business purpose loan.

The title company that closed this loan used an old HUD-1 (from 1986).

Whoops. Now what?

Return to Top
Audit
#1468674 - 11/17/10 12:59 AM Re: Rental Property - RESPA pacar
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 79,617
Galveston, TX
If RESPA does not apply, what difference what form was used?
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top
#1468683 - 11/17/10 02:36 AM Re: Rental Property - RESPA rlcarey
pacar Offline
Gold Star
Joined: Jul 2007
Posts: 320
I guess my concern was that a form was used at all. So no big deal, then?

Return to Top
#1468693 - 11/17/10 04:07 AM Re: Rental Property - RESPA pacar
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 79,617
Galveston, TX
Typically title companies use a HUD-1 to represent settlement costs on all transactions. Since the new HUD-1s don't really support a non-RESPA transaction, they probably just used one of the old forms.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top

Moderator:  Andy_Z