reXpa
This is the Acronym RESPA
Real Estate Settlement Procedures Act
TILA DISCLOSURES ARE REQUIRED
When credit is offered, but before transaction, and also when credit is advertised to potential Customers.
Regulation B
Equal Credit Opportunity Act (ECOA)
This is calculated by adding together all of a borrower's monthly debt payments and dividing the sum by the borrower's monthly income
Back End - DTI
Fixed Rate for a period of time (3,5,7,10 years) then adjusts
Hybrid ARM
Name, SSN, Gross Income, Loan amount, Address, Estimate of property Value
What are needed qualifiers for the credit application?
This Prohibits dual compensation (from borrower or lender, not both)
What is LOAN ORIGINATOR COMPENSATION RULE?
Regulation V
Fair Credit Reporting Act (FCRA)
USDA front and back
29/41
Convert from adjustable to fixed (current prevailing rate) without the need to refinance, Lender may charge 1 time fee
Convertible ARM
All Cash Sales Rental Properties, Property of 25 acres of more (agricultural), Vacant Land (unless dwelling will be constructed of moved onto the property within 2 years), Commercial Properties, Home Seller Take Backs, Temporary Construction Loans
What are not applicable transactions?
According to the MORTGAGE DISCLOSURE IMPROVEMENT ACT - the earliest closing is this many days after initial disclosures
What is 7 days?
Regulation P
Privacy of Consumer Financial Information
FHA 31%
Front
Length of time between interest rate changes on ARMs
Rate Adjustment Period
If You own greater than 1%, or retain 5 years of a business and are referring someone. Please provide this.
What is Affiliated Business Arrangement (AfBA) Disclosure?
Under TILA, According to the ADVERTISING DISCLOSURE REQUIREMENTS, Amount or percentage of down payment, Terms of repayment, Annual Percentage Rate (APR) are examples of this.
What is triggered?
Regulation F
Fair Debt Collection Practices Act (FDCPA)
Back
Allows payments of interest only for a specified number of years (3-10), Smaller monthly payments, then payments increase even if interest rate stays the same
Interest Only ARM
Seller cannot require buyer to use a particular title insurance company as a condition of the sale unless seller pays for title insurance & all other title related fees
Thresholds for this type of loan, APR exceeds APOR by 1.5% of 1st lien, 2.5% for a 1st lien JUMBO loan (loan amount over $510,400), 3.5% of subordinate liens
High Priced Mortgage Loan
Regulation O
Mortgage Assistance Relief Services (MARS)
28 Front / 36 Back
Conventional Loans
Given in the Disclosure of an ARM
What is CHARM?
Consumer Handbook on Adjustable Rate Mortgages