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RESPA final rule stripped of key provisions
On Nov. 12, HUD issued its long anticipated final RESPA reform rule. HUD appears to have taken industry concerns to heart, as the 341-page final rule contains significant modifications from the version that was released for comment in March - key among them being the removal of the closing script and the volume discount proposal. Read on to learn what's in the new rule and why HUD's work is not yet done.
On Nov. 12, HUD issued its long anticipated final RESPA reform rule. However, the 341-page rule contains significant modifications from the version that was released for comment in March - key among them being the removal of the closing script. The volume discount proposal has also reportedly been eliminated.
Curiously, HUD estimated that "improving upfront disclosures on the GFE and limiting the amount that estimated charges could change will save consumers nearly $700 in loan costs." HUD said the savings come primarily from putting a 10 percent tolerance cap on settlement fees and providing a standardized form that will enable consumers to save money through shopping.
Good Morning,
Just a few thoughts that have been going through my mind in past month with the new mandatory class and purchase of a new key for the Supra electronic lockboxes.
As an agent in a slower market I gotta wonder what the motivation is behind the changing other than the additional revenue generated and why the service one association would be on board with something that seems so ridiculous when a few years ago they changed the key system to their new and improved set up. Back then I think it was around $400 bucks for the upgrade but that was around 2004 when the attitude was ahhh its just $400 bucks who cares .As money is getting a little more scarce, why make us purchase these new boxes and keys? And why pressure us to a deadline where the boxes we own and old keys wont work? Hmmmm. As members of the board you would think they would look out in the agents best interests which would give the agents more time to change over and maybe a monthly plan to pay it of also develop a key that would work with the old boxes. Previously I felt that if an agent does not have the tools of the trade that is there problem when it comes to these new keys but No More! I have not and will not purchase the new key on principal this time. It is a flat out stupid idea,the whole thing. Being in Gloucester county we border southern Camden county and show a great deal of properties on that side of the Rd. The agents in Camden county should take a stand with the board on this and get rid of the Supra once and for all. Why have it? It doesnt make the sellers home more secure at all. If a burgler wants to burglurise a home for sale they will ! Do you think they will walk away when they see the oh so secure Supra? Doubt it. They will go through a window or door or scam someway if they want into the property. Besides if they break in what would they steal? I dont think they would get near $10,000. wich is probaly what they will lose in equity when the demand on the house is lower because the agent isint making it easily available to show to agents in Gloucester ,Salem, Cumberland,Cape May and Atlantic counties.Or to agents in PA licensed to do buisness in Jersey and do so occasionally. We have all had clients who refuse to put a lockbox on thier home and insist on being there for all the showings. We usually try and incourage a box so that the home is available almost all the time. Well if you put a Supra on it and agents steer away from it isint that the same thing? I just over heard an agent in my office setting up appointments to a client relocating to the area yeaterday .I heard her cancel 3 properties because she didnt have a Supra .Guess what ? She sold them another house on that trip. How many times does this happen. As far as im concerned I rather have an alarm if im worried about being robbed. The Supra does not make the house more secure. And the keys arent that hard to get.People borrow them all the time and Agents leave the buisness. How many agents are out there that left the buisness and still have a key? I know what your thinking .The board varifys you before they sell you one. Did you give them ID? Could you give them a fake ID to get one? Just a thought. Last year I showed a $7,000,000.00 home down the shore and walked into the office with a Tee shirt and shorts and said Im here to pick up a key and they gave it to me. After getting an offer from my client I was so excited that I drove home to write it up forgetting I had the key. 2 weeks later I relized I never sent the key back so I called the office to let them know and they said ahh just stick it in the mail. LOL I relise this is 1 extreme to the other but the point is if a robber wants to rob it he will. Making the home harder for agents to get in is just plain idiotic in this market. I will try and avoid showing houses with Supras if I have to I will borrow one but not before trying to sell every other property in the area first and I usually am able to .We fazed out the Multac down here the same should happen with the Supra in CC. Just a thought.
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