Is a lender required to reflect the cure for a tolerance violation in the Comparison Chart on the HUD-1?

HUD has changed its position on this issue over time.  HUD’s current position is that a lender may, but is not required to, reflect a cure payment in the Comparison Chart.  HUD has not provided written guidance on its official position but it has removed language from the FAQs requiring that the cure be reflected in the Comparison Chart, and has confirmed its new position orally.

HUD's FAQs can be found at http://www.hud.gov/offices/hsg/rmra/res/respa_hm.cfm.