GFE, HUD-1 and two properties

Posted By: Patricia

GFE, HUD-1 and two properties - 10/25/13 03:55 PM

Borrower is refinancing existing home and taking the equity to buy a second home. The borrower does not want to have two separate payments. So the LO is thinking to do one GFE with fees showing for both properties. Then there would be two separate HUD-1s. Can this be done? Not sure how one would match up the fees on the comparison pages on the two separate HUD-1s to the one GFE.
Posted By: rlcarey

Re: GFE, HUD-1 and two properties - 10/25/13 04:26 PM

If there is one loan, there is only one GFE and HUD-1. It does not matter how many properties are involved.
Posted By: Patricia

Re: GFE, HUD-1 and two properties - 10/25/13 06:09 PM

Okay I was told that the closing on the refi will be done at the bank and then the closing on the home being purchased will be done through a title company in the city where this home is located. Ugh?
Posted By: rlcarey

Re: GFE, HUD-1 and two properties - 10/25/13 06:15 PM

Well, I guess you could close the refinance first as that will involve the full disbursement of the loan and the cash left over will be issued via a cashier's check or wire to the second title company. The second closing, outside of the bank obtaining a lien on the property is not really related to the loan.