Most lenders assume on a refinance that the homeowner already has insurance, which is not the case on a purchase transaction. Therefor, it is not included on the LE, using the good faith and customary charges premise. If down the road the lender learns that the customer does not have homeowner's insurance or that a current payment is due at closing, the lender can add that on the next disclosure issued.
_________________________
The opinions expressed here should not be construed to be those of my employer:
PPDocs.com