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RESPA Violation?

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ghs215

Junior Member
What is the name of your state?

The Mortgage company is a wholly owned subsidary of the Builder.

A Builder requires Buyer to use its own Mortgage company to recieve incentive($$ off property)

The Builder has "Affiliated Business Agreement Disclosure Statement" which states:

"Because of this relationship, this referral may provide Builder a financial benefit or other benefit."

Is this in violation of Sec. 3500.14 Prohibition against kickbacks and unearned fees.

You can view the laws here.

http://frwebgate.access.gpo.gov/cgi...E=24&PART=3500&SECTION=14&YEAR=1999&TYPE=TEXT

What do you think?
 



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