As of July 1st, 2010 Lawyers Advantage Title Group is the new closing agent for the area case prefix 094 in Florida.

Closing costs paid by HUD may not exceed 3% of the property’s gross purchase price. This amount may be inserted on the HUD-9548 Sales Contract on Line #5, and is deducted from the net to HUD on Line #7. If the total closing costs on the HUD-1 are less than the amount stated on the Sales Contract, HUD will only reimburse the actual costs. No credit will be given to the purchaser for the difference. Within the 3% closing cost allowance, HUD will reimburse loan origination fees of up to 1% of the purchase price. On 203(k) loans, HUD will reimburse origination fees up to the following amount: one percent (1%) of the total 203(k) mortgage, plus the Supplemental Origination Fee calculated on line B11 of form HUD-92700. (Line B11 is the greater of $350 or 1.5% of the total of rehabilitation costs and allowable fees.)

Changes are coming regarding selling government-owned properties for HUD and the FDIC.
“Success Selling Government Property” provides “need to know” information, CE credit, and more! Go to Training Seminars on this website for dates. Questions?? Email smoore@dsuniversity.com for a personal reply

UPDATE NSP Program

UPDATE OHIO $100 DOWN PAYMENT INCENTIVE PROGRAM FOR FHA FINANCING

The $100 down payment financing is available on most properties through FHA approved lenders. Please note that the $100 down offer applies if the purchase price is over $25,000 and is less than or equal to the appraised value of the property. If the purchase price is greater than the appraised value, the purchaser may obtain a new FHA appraisal to support the higher mortgage amount or must pay cash in the amount of the difference between the appraisal and the purchase price less $100. For a copy of the flyer please click here . Buyer is responsible to secure an approved lender who will accept a new appraisal.

UNDERSTANDING THE BID REVIEW PROCESS

HUD HOMES SALES INCENTIVES for  OHIO Owner/Occupant Purchasers ONLY

The Real Estate Settlement Procedures Act (RESPA) requires that consumers receive disclosures at various times in the transaction and outlaws kickbacks that increase the cost of settlement services. RESPA is a HUD consumer protection statute designed to help homebuyers be better shoppers in the home buying process, and is enforced by HUD. Buyers should be aware of their right to “use” HUD’s closing agent, at no additional fee to them or it is their option to select another title company (at their cost).

HUD recently deactivated a significant number of Name Address ID Numbers due to one or more of the following reasons:

• Failure to renew the NAID Number through the recertification process prior to its expiration. The SAMS 1111 form is required that may be found under Broker Registration. Send the original completed and signed form, with attachments, to the NHMS office indicated in the HUD Homesellers Handbook for your state. The handbook is located under Broker Information.
• Failure to pay to HUD Earnest Money Deposits that were forfeited due to a contract of sale that failed to close. Your broker would have received three letters from HUD instructing the payment of the EMD and warning of deactivation if payment was not made. Do not contact our offices for this information. The agent(s) with your firm that had any HUD contract of sale fail to close should have this information. You must follow the instructions on the letter(s) you received on behalf of HUD to send in forfeited earnest money.
• Failure to make timely tax payments to the Internal Revenue Service. This is a matter for your tax advisor to correct. We cannot assist you with this.

If you are unable to place a bid because your NAID Number has been deactivated, please check with your broker or your company’s administrator to have the situation corrected. Our offices cannot assist you to accomplish reactivation any faster than it takes to process the paperwork and/or the payments required.

On March 19, 2009 from 1:00 PM to 4:00 PM in Pensacola, Florida, a seminar for HUD homesellers is offered free. There is no Continuing Education credit. Information is provided here.

Automatic cancellation will occur on the closing date that is indicated on the Sales Contract, unless an approved extension has been granted. NHMS will grant contract extensions on a case-by-case basis if the facts indicate that there is a necessary delay to settlement and closing. Requests must be delivered in writing on the appropriate form to the HUD Closing Agent at least five (5) business days prior to the closing date set on the Sales Contract .

No extension will be approved unless the appropriate documentation and fee in the form of certified funds accompanies the request. Based upon the sales price, the extension fee is as follows:

• $150 when the sales price is $25,000 or less,
• $225 when the sales price is $25,001 up to $50,000, and
• $375 when the sales price is over $50,001 or more.

The non-refundable fee is made payable to the U.S. Department of HUD. If closing occurs in less than fifteen (15) days, the purchaser will be credited a prorated amount per day. There is a required addendum for the purchasers to sign that must be included in the Contract Package stating HUD’s policy regarding extending the closing date.