Housing Economist Criticizes HUD RESPA Economic Analysis

June 5, 2008

In a report commissioned by the National Association of REALTORS® Economist Ann Schnare criticizes HUD's economic analysis for the proposed RESPA rule. Dr. Schnare said,

"My report demonstrates that HUD is ignoring several key factors in its analysis that could add $400 or more to closing costs if implemented."
These include the costs involved in preparing multiple Good Faith Estimates and the Closing Script. The increased costs could wipe out any potential savings HUD foresees through increased consumer shopping. Read the report, "The Estimated Costs of HUD's Proposed RESPA Regulations".