Regulation X

Regulation X is a federal rule that governs certain aspects of real estate settlement processes for homebuyers. It aims to ensure transparency and fairness in mortgage lending by requiring lenders to provide clear information about costs and terms related to home loans. This includes details needed to understand the total closing costs and the mortgage itself. Regulation X is significant because it helps protect consumers from hidden fees and misleading information, promoting informed decision-making when purchasing a home. It is part of the Real Estate Settlement Procedures Act (RESPA).