I was facinated with this article earlier today. I guess when you are a real estate agent working on other people's projects you don't really pay attention to closing costs until it's your turn to okay the agreement. There were points I completely agreed with, e.g. "It consolidates closing costs into major categories to prevent "junk fees" and displays total estimated settlement charges prominently on the first page so the consumer can easily compare loan offers. In addition, HUD's new proposed rule would specify the charges that can and cannot change at settlement. If a fee changes, HUD proposes to limit the amount it can change. Modifications to modify the HUD-1 settlement statement are mainly to assist consumers to compare actual charges on the HUD-1 with prior estimates on the GFE."
Then there were points that I didn't agree with, like the proposed mandatory "closing script." As a Notary Public, I would have to get out of the Signing Agent business as I am prohibited from explaining the loan documents to the customer. I am only supposed to witness, notarize and return the loan documents to the client who is contracting the mobile notary service. As an independant contractor providing an array of services, this spells trouble with a capital T. Did anyone ever stop to think of all the conflicting state laws that prohibit certain licensed individuals from doing certain things?
What if the customer asks the loan siging agent a question during the closing portion of the mandatory script being read? What if I know the answer, but as a Realtor and Notary Public am prohibited from answering per state law, but am required to point out the answer in the documents by the new HUD requirements? Do I loose my two licenses for complying? Do I get fined or sanctioned for not complying?
The end of the article has a link where you can read the entire nightmare on the HUD website. I don't think RESPA intended to kill the entire Notary Signing Agent business, but they may have just signaled the beginning of the end... What say you?
Disclaimer: Any comments and contributions provided on ActiveRain.com (or other electronic or print media) does not establish an agency relationship with any third party. Blog posts are intended to be informational only. Please be advised that real estate practices vary in regions and from state to state and market to market. The information contained herein does not constitute legal advice. All parties in need of legal, accounting, tax, or real estate guidance are directed to consult with the licensed professional of their choice. Please seek specific guidance from a retained professional in the specific field(s) required to service your interests. I and/or team blog writers make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this web site and its associated sites inclusive of but not limited to CarolynTannStarr.com MySpace/TannStarr 46486 NY Working Moms Examiner ActiveRain Group Club Chaos ClubChaosAgents.com CyberMinions.net CTannStarr Outside Blog CTannStarr Localism Blog TannStarr.net UberMental.com
© Carolyn Tann-Starr, 2008-2015. Unauthorized use and/or duplication of this material without express and written permission from the re-blog authors (when appropriate)and Carolyn Tann-Starr is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Carolyn Tann-Starr, (the re-blog authors when appropriate) and Wordy C's Blog with appropriate and specific direction to the original content.