TRID: Split Buydowns

Completing the Closing Disclosure can sometimes be a challenge, especially when the Regulation does not address a specific scenario you may run into in the real world. Split buydowns (between the borrower and seller) have become more and more popular and we often get questions on how to disclose them. We recently received the following question:

Question: How would a split buydown (borrower and seller) be disclosed in the monthly principal and interest section of the Loan Terms?

In most cases, a split buydown between the borrower and seller is not reflected on the Closing Disclosure.

Jerod explains why in the video.


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Published
2024/03/13

 
Jerod Moyer

Jerod Moyer

Jerod is the leader of Banker’s Compliance Consulting’s training productions. He is a nationally recognized speaker. Whether it’s a conference, seminar, school, webinar or luncheon, it’s easy to stay engaged when he presents due to the amount of passion and energy he brings to each and every compliance topic. Jerod has spoken on behalf of the American Bankers’ Association, BankersOnline, many state banking associations, private compliance groups and financial institutions. He is a Certified Regulatory Compliance Manager (CRCM) and BankersOnline Guru. Jerod likes to spend his time (between reading regulations and producing compliance training!) relaxing at the lake with his wife and three children, following their activities or engaged in something sports-related!

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