Re: Disclosure requirements on simultaneous loans



I think that you won’t have to list the cost for the items that were covered by your first loan as you know going into this loan that they are not going to incur those cost.

What I’m basing this opinion on is the following portion of RESPA:

Good faith estimate or GFE means an estimate of settlement charges a borrower is likely to incur, as a dollar amount, and related loan information, based upon common practice and experience in the locality of the mortgaged property, as provided on the form prescribed in ยง 3500.7 and prepared in accordance with the Instructions in Appendix C to this part

The part about “settlement charges a borrower is likely to incur…”

If you know at the onset of the loan application process that they are not going to incur these charges as it relates to the second loan then I think you have an argument that those fees are not likely to be incurred.

I looked through the Regulation, the FAQ’s, and RESPA Roundups and I didn’t find anything specific that I can point you to that would give you a definitive answer. I did want to you give you what I’m basing my opinion on.

Maybe Jack has more he could add on this subject.