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.
Published
2024/03/13