Bulletin: SLS2007011

Date:
December 03, 2007
To:
All Issuing Offices
RE:
Down Payment Assistance

Dear Associates:

This Bulletin supplements our Bulletin SLS2007008 titled "Prohibited Source of Down Payment Assistance."

A recent court case temporarily enjoined the enforcement of HUD’s recent rule regarding down payment assistance, pending a hearing set for February 2008; however, this litigation is not final and the status of the rule may change. Updates regarding the status of this rule can be obtained from HUD or from commercial sources, such as www.getdownpayment.com and/or www.dpanews.com.

All future inquiries regarding down payment assistance should be directed to HUD or to the lender making the loan. The current contact person at HUD is Margaret Burns, Director, Office of Single Family Program Development, Department of Housing and Urban Development, 451 Seventh Street, SW., Washington DC 20410; (202) 708-2121.

In situations where there is down payment assistance, please advise the lender and obtain the lender’s written consent.

For on-line viewing of this and other bulletins, log onto: http://www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
SLS2007008 Prohibited Source of Down Payment Assistance
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None