HUD's FAQs - If the Borrower is Taking Out Two Loans to Finance the Purchase, How Should the Loan Originator Disclose the Charges From Each Loan on the GFE and the HUD-1?

Compliance > Regulation X - RESPA > GFE and HUD-1 > HUD's FAQs
Q: If the borrower is taking out two loans to finance the purchase, how should the loan originator disclose the charges from each loan on the GFE and the HUD-1?

A: Each loan must have a separate GFE and a separate HUD-1. However, the principal amount of the second loan and a brief explanation of the second loan should be listed on Lines 204 – 209 of the HUD-1 for the first loan.

This can be found in GFE-General – FAQ #11 of HUD’s FAQs.  HUD’s FAQs can be found at

Add Feedback