[Anonymous]

Just want to make sure we are doing this right. It is our understanding that

Seller-paid loan costs and other costs (i.e., transfer taxes, owner’s title, etc.) must be shown on Page 2 in the appropriate column, regardless of whether the seller is receiving a separate Closing Disclosure from the settlement agent. When the seller is provided a separate CD, the seller’s transaction can be omitted from the Summaries of Transactions table on Page 3 of the buyer’s CD. However, the buyer must still see the seller paid closing costs required to be disclosed on Page 2 pursuant to §1026.37(f) and (g). This was also very clearly confirmed in the CFPB’s April 12, 2016 Outlook Live webinar on TRID FAQs (Marker 38:59 through 44:00, beginning on Slide 20). Here’s the link to that webinar: https://www.webcaster4.com/Webcast/Page/577/13784

Our two investors and all of our title companies are not requiring this. Have we missed something?

[kowsley]

Yes, you have interpreted the regulation correctly. When the model form H-25 is utilized to separate the consumer’s and seller’s closing costs, the seller-paid loan cost and other costs that are paid by the seller can’t be omitted from the consumer’s closing disclosure; however, the loan cost and other costs paid by the consumer may be left blank on the disclosure provided to the seller – 1026.38(t)(5)(v)(B). This was confirmed by the CFPB in the webinar mentioned above. Look to 1026.38(t)(5)(v) for the only allowed exceptions when utilizing form H-25.

[Author]

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