News By Edition

A panel of RESPA attorneys discussed compliant strategies to compensate referral sources at RESPRO’s spring conference, emphasizing the benefits of joint ventures and affiliated business arrangements when done correctly and the risks of employing a referral source as a non-producing branch manager.

RESPA experts analyzed state enforcement and current litigation at RESPRO’s spring conference, discussing the approach of attorneys general concerning increasing RESPA enforcement, the validity of “reverse referrals” and what to look out for with joint ventures. 

As part of a monthly feature, RESPA News reached out to Kim Morris, one of the crafters of the 1990 revision to RESPA and president of InteMind Business Solutions, Inc., to hear her take on the statute’s creation and its relevancy today.

On May 4, the Federal Housing Administration (FHA) issued a mortgagee letter entitled “Updates to Multiple Environmental Requirements for the Multifamily Accelerated Processing Guide,” to remove outdated provisions that have increased costs for lenders and developers seeking FHA-insured financing.

Following a court hearing, the Department of Justice and lender and developer Colony Ridge, Inc. filed a joint stipulation of dismissal of their previously established settlement agreement, effectively removing the case from the court system. RESPA News reached out to Sasha Samberg-Champion of the National Fair Housing Alliance, who spoke at the hearing in Houston, for comment.

The Council of Economic Advisors announced the release of the 2026 Economic Report of the President, which covered topics from international trade to industrial supply chains to homeownership. One section addressed the steps the president has taken to reduce regulatory burdens, increase housing supply and make homeownership more accessible.

The Office of Management and Budget Director Russell Vought addressed Community Development Block Grant and Community Development Financial Institution funding at a House Budget Committee hearing on the president’s fiscal year 2027 budget request.

The Federal Housing Administration issued a reminder to lenders of its requirements regarding initial occupancy verification and borrower contact methods for mortgages in default.

ServiceLink released its 2026 State of Homebuying Report which examines the psychological experience of recent homebuyers and offers a comparison between the buyer’s and lender’s perspective.

Sen. Jacky Rosen (D-Nev.) announced that she is leading a joint resolution of disapproval of the Consumer Financial Protection Bureau’s decision to end a rule for financial institutions that aimed to keep sensitive data secure and to boost cybersecurity safeguards, while Sen. Elizabeth Warren (D-Mass.) sent a letter to Elon Musk about his new payments platform, X Money, that launched in April.

The National Association of Realtors announced a set of initial governance changes designed to increase the effectiveness and efficiency of its governance by modernizing its committee structure, reducing duplication and better aligning with industry priorities.

The Department of Housing and Urban Development published a notice on the Federal Register announcing the withdrawal of eight Fair Housing and Equal Opportunity guidance documents in accordance with executive orders that aim to reduce compliance burdens.

Veterans United Home Loans and Veterans United Realty filed a motion to dismiss a RESPA class action that alleged consumer steering. Veterans United argued that the plaintiffs failed to state a claim under RESPA and that the Missouri Merchandising Practices Act did not apply to the transactions at issue.

The Department of Housing and Urban Development’s Office of Native American Programs announced over $1.1 billion in Indian Housing Block Grant funding for eligible American Indian Tribes, Alaska Native Villages and Tribally Designated Housing Entities to support affordable housing projects in nearly 600 Tribal communities.

The National Association of Realtors (NAR) announced that it will be “opting-in” to the master settlement of Tuccori et al. v. At World Properties et al., a 2024 antitrust class action centered on buyer-agent commissions. NAR CEO Nykia Wright said this settlement provides a broader level of protection for the industry than any previous NAR settlement.

The Washington State Department of Financial Institutions issued a statement of charges against a mortgage servicer, alleging numerous repeat violations of the law between 2021-2026.

A borrower sued her mortgage servicer, accusing it of failing to make payments from her escrow account and failing to provide accurate information for loss mitigation options. She alleged breach of contract, negligence and RESPA violations. The servicer moved to dismiss, arguing that her default on the loan breached the contract first and that she failed to allege actual damages under RESPA.

Fannie Mae issued governance framework in Lender Letter (LL-2026-04) regarding the use of artificial intelligence and machine learning in mortgage origination and servicing practices.

The Mortgage Bankers Association’s Research Institute for Housing America released a report examining the impact of the $10 billion Homeowner Assistance Fund, a federal program launched in 2021 to support homeowners affected by the pandemic.

Sens. Adam Schiff (D-Calif.), Peter Welch (D-Vt.), Jim Justice (R-W.Va.) and Cindy Hyde-Smith (R-Miss.) introduced the “Fostering the Availability in Rural Markets (FARM) of Home Loans Act,” bipartisan legislation designed to support rural economic growth by helping more homebuyers qualify for rural housing assistance.

The National Association of Realtors announced that it will be “opting-in” to the master settlement of Tuccori et al. v. At World Properties et al., a 2024 antitrust class action centered on buyer-agent commissions.

Northwest Multiple Listing Service (NWMLS) filed a counterclaim against Compass — who originally filed an antitrust lawsuit against NWMLS in 2025 — arguing that Compass’s private and “coming soon” listings deceive consumers, devalue NWMLS’s offerings and will soon violate state law.

Rocket Companies, Inc., filed a motion to dismiss a recent class action alleging steering practices and RESPA violations, arguing that the plaintiffs failed to state a claim and that the RESPA claims were time-barred.

The Ohio Department of Commerce Division of Real Estate and Professional Licensing emphasized in a recent release the key fair housing disclosure changes resulting from House Bill 315, which went into effect on April 3.

The Department of Housing and Urban Development’s (HUD) Office of Housing Counseling announced the availability of over $56 million of funding through a new Notice of Funding Opportunity (NOFO). Through the combined Comprehensive Housing Counseling and the Housing Counseling Training NOFO, HUD plans to award grants to around 175 housing counseling agencies, organizations and training partners.

The plaintiffs in the class action homebuyer commission lawsuit Mya Batton et al. v. National Association of Realtors et al. filed a memorandum in support of the motion for preliminary approval of class action settlement with RE/MAX, LLC, stating they “successfully achieved an $8.5 million settlement with RE/MAX.”

The Consumer Financial Protection Bureau (CFPB) filed a motion to modify the stay pending appeal in NTEU v. CFPB, arguing that CFPB acting Director Russell Vought adopted a new reduction in force plan that supersedes the previous plans and addresses the plaintiffs’ concerns.

The Council of Multiple Listing Services released a statement of support for consumer transparency and brokerage competition in the wake of the industry’s shift toward “coming soon” listings platforms, such as the newly announced Zillow Previews.

The Consumer Financial Protection Bureau published a request for comments in the Federal Register on whether the collection of information is necessary for the proper performance of the functions of the bureau.

The Consumer Financial Protection Bureau (CFPB) released a draft of its strategic plan for fiscal years 2026 to 2030. The CFPB provided three goals, including addressing threats to consumers, reducing regulatory burdens and strengthening the bureau’s governance and culture.

Sen. Elizabeth Warren (D-Mass.), ranking member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Consumer Financial Protection Bureau acting Director Russell Vought, expressing concerns that banks are attempting to foreclose on families based on second mortgages that many homeowners believed were canceled, known as “zombie mortgages.”

The Mortgage Bankers Association (MBA) announced that Jill Ranck has joined the association as director of associate membership. In this role, Ranck will serve as the primary contact for MBA’s associate members, supporting their business efforts while developing and executing strategies to strengthen their engagement with MBA.

U.S. District Court Judge James Robart for the Western District of Washington at Seattle granted Zillow’s motion to stay discovery and case deadlines in the class action Taylor v. Zillow, which was previously consolidated with a similar class action.

The National Association of Realtors (NAR) released a statement on “coming soon” listings after Zillow announced the launch of its Zillow Previews, which allows pre-market listings to be publicly visible on its platforms. NAR also supplied a “coming soon” checklist for multiple listing service policy compliance. 

A borrower sued his mortgage servicer, accusing it of escrow mismanagement and failing to respond to a qualified written request. The borrowers alleged RESPA, Truth in Lending Act and Fair Debt Collection Practices Act violations. The servicer filed a motion to dismiss, arguing the borrower failed to adequately plead damages.

HomeLight released its Lender Insights & Predictions report for the second quarter, emphasizing the rising popularity of non-traditional housing options, especially among first-time homebuyers, and increasing foreclosure activity.

The Department of Housing and Urban Development’s (HUD) Office for Fair Housing and Equal Opportunity notified the Washington State Housing Finance Commission that it has launched an investigation into the state’s Covenant Homeownership Program, which HUD believes may violate the Fair Housing Act.