Recording Fees

Posted By: mdog76

Recording Fees - 03/04/19 07:32 PM

I know recording fees are subject to the 10% bucket, but are the recording fees considered unlimited if the title company is not on our shopping list?
Posted By: RR Joker

Re: Recording Fees - 03/04/19 07:42 PM

No. The two don't interrelate at all.
Posted By: mdog76

Re: Recording Fees - 03/04/19 07:45 PM

So recording fees are kind of in their own 10% bucket so to speak?
Posted By: raitchjay

Re: Recording Fees - 03/04/19 07:50 PM

They're just automatically in the 10% bucket...not their OWN 10% bucket....the borrower cannot shop for the recording fees....simple as that. But recording fees don't fall into the 0% tolerance bucket that other cannot shop for items do--because the regulation says they are 10%.
Posted By: mdog76

Re: Recording Fees - 03/04/19 07:52 PM

That makes sense. Thanks for the help.
Posted By: mdog76

Re: Recording Fees - 03/04/19 07:55 PM

Just thought of another question for this. So when it comes time to comparing the LE and CD for tolerance, do the recording fees get lumped in with the other 10% category fees or do they get compared by itself?
Posted By: raitchjay

Re: Recording Fees - 03/04/19 07:59 PM

There's only one 10% bucket. All 10% fees are in the same bucket.
Posted By: mdog76

Re: Recording Fees - 03/04/19 08:18 PM

That's the way I've always understood it. So if my title fees are unlimited tolerance because the customer chose a title company not on our list, the recording fees are still subject to 10% tolerance?
Posted By: RR Joker

Re: Recording Fees - 03/04/19 08:19 PM

Agree.

Where people sometimes trip over themselves is when they quote a certain provider's estimated recording, but then the customer uses a different provider who uses a longer Deed, etc...Well, there 'big' fees are no longer a part of that 10% bucket because they are not on your shopping list, but their recording fees are higher and you didn't cover for those on your LE and suddenly you exceed tolerance.

I use the higher recording in my market for this very reason...I've had one too many tolerance issues because of the difference in recording from one provider to another smile
Posted By: Truffle Royale

Re: Recording Fees - 03/05/19 04:22 PM

OP, are you asking about government recording fees or title company 'recording fees' i.e., electronic add ons for recording a doc? Recording fees go in the recording fee box.
Title company add on 'recording fees' go in either B or C depending on if the borrower chose or not.
This was asked and answered here. with good advice from Randy.