On Friday, HUD announced (http://www.hud.gov/news/release.cfm?content=pr09-020.cfm) it will reopen public comment on how it should define "required use" for purposes of Section 8 of the Real Estate Settlement Procedures Act.
The "required use" provisions in HUD's November 16, 2008 RESPA rule would particularly affect builders' incentives for use of affiliated lenders and were the subject of litigation by the National Association of Home Builders. HUD said it said it will delay its implementation of the provisions for 90 days, or until July 16th, as it solicits public comment on whether to withdraw its new definition. HUD did not indicate that it would withdraw the entire RESPA rule to coordinate it with the forthcoming Truth in Lending Act revisions as HUD and several other trade associations recently requested by letter to Secretary Shaun Donovan.
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