DoubleTime Upgrades and the ALTA Settlement Statement

Download previews of the new DoubleTime® ALTA Settlement Statement forms. Learn how this with affect your practice and the changes coming in the DoubleTime®7.0.1 release.

Download the new DoubleTime® ALTA form examples here:

ALTA Settlement Statement - Seller

ALTA Settlement Statement - Combined

ALTA Settlement Statement Borrower - Buyer

Dear Member,

Can you believe it is just a few more days before the TRID rules (finally) kick in? We are getting lots of questions from Members as they are getting familiar with the new forms and examining how office procedures may need to change. Please continue to send in your questions via the CFPB Hotline at cfpbfaq@thefund.com or call 1(844) CFPB-FAQ.

Here is what I am covering this week: DoubleTime® (and software upgrades in general) and the ALTA Settlement Statements. Read on.

It is very important to make sure your closing software is updated to incorporate the changes required by the TRID rules. DoubleTime® 7.0 has been available for download for over a month and many of you have already completed your upgrade. If you have not yet upgraded, please use this link to get more information about how to install the upgrade: thefund.com/dt7.

But hold on! Before you get too smug because you have installed DoubleTime® 7.0, there is already an additional download coming you will need to install - DoubleTime® 7.0.1. This additional install will incorporate the ALTA Settlement Statements and the "Florida Insurance Premium Disclosure" form that will soon be required by the Florida Administrative Code. If you are a DoubleTime® user, you will be getting an email the week of October 5th alerting you that it is time for you to download this additional install. This is an easy install and will take only a few minutes.

I want to focus this week on the ALTA Settlement Statements in some detail. Next week’s email will give you detailed information about the Florida Insurance Premium Disclosure form and the new rule.

The need for a standard settlement statement, in addition to the Closing Disclosures for both the buyer and the seller, came out of these factors:

• TRID rules result in inaccurate disclosures of title premiums in Florida and many other states. These charges need to be adjusted between buyer and seller in order to reflect the true cost that each party is obligated to pay.

• Lenders may (and some have) take the position that the Buyer Closing Disclosure is not to be shared with third parties such as the real estate agent and the seller.

• Lenders may require that the settlement agent use the separate Seller Closing Disclosure and not show the seller charges on the Buyer Closing Disclosure.

• Seller, buyer, and real estate agent have a need to see charges paid by both parties in order to insure compliance with the contract and to get a complete picture of the transaction.

ALTA developed a settlement statement to achieve these goals. DoubleTime® 7.0.1 (coming in October) will include three versions of the ALTA Settlement Statement - combined, borrower-only, and seller-only. You can view a PDF version of all three forms at the top of this post. The description of the charges shown on the ALTA form in the link have been changed in DoubleTime® to reflect Florida-specific information and will flow from the DoubleTime® Closing Disclosure module. This means you do not have to enter the information again to print the ALTA form. There will be some ability to edit the description of the charges and credits on the ALTA forms to conform to user preferences.

Take a look at the ALTA combined form. You will note right away that the buyer charges are on are on the left side and the seller charges are on the right side. This is the opposite of the HUD-1. You will need to get used to this! Think of it as an exercise to improve your brain's ability to process information.

DoubleTime® has designed the ALTA form to group the title-related charges together so it will be easier for you to explain those charges to the parties. However, you will NOT be able to alter the way the charges are shown, i.e., you will not be able to combine charges or otherwise change them. You will only be able to change the descriptive text. We hope to be able to give you more flexibility with future DoubleTime® updates.

In addition to the ALTA forms, settlement agents will have other choices of supplemental closing statements if they are included in their closing software. DoubleTime® has always had basic settlement statements for use in transactions that do not require use of a HUD-1 settlement statement. These basic settlement statements will continue to be available for use. You must read the lender’s closing instructions in case there is a particular form the lender requires. Some lenders will prefer the ALTA Settlement Statement form.

We predict that lenders will want to see whatever settlement statement you use and some may require review prior to funding the loan and authorizing disbursement. We recommend you do not use the HUD-1 settlement statement to fill the need for a supplemental settlement statement. The HUD-1 will likely not be acceptable to lenders, may require double data entry, and may present legal issues to its use as well.

Hang in there, keep the faith and, as always, thank you for your support of The Fund.

Best Regards,

Melissa Jay Murphy
Senior Vice President and
General Counsel