If the collateral securing a TRID loan does not belong to my applicant on the loan, do I still need to show the taxes and insurance, under the Non-escrowed property costs on the LE.

When I read through the rule I was confused who consumer is. I thought consumer was my applicant and he will not be paying the taxes and insurance on his parents home that is being pledged for his loan. So I would not be disclosing it.

thank you, Kay

Confused. He is getting a loan on a property he doesn't own?

wow...that's an interesting twist.
My knee-jerk reaction is that yes, you would show it because having insurance and paying the taxes are a requirement of perfecting your lien and keeping it in paramount position.
You may not be escrowing them or even caring who pays them but you do need to have them paid annually.
So yes, I would show them on the LE.

Tracey, it is legal for me to take out a loan on your house as long as you sign the mortgage thereby putting it up as collateral.
Not something you normally see, but it can happen.

Truffle- yes I understand that- just not something we would normally do here.

I would put the taxes/insurance on the LE because they are an obligation of the lien.

thanks