What is REAL ESTATE SETTLEMENT PROCEDURES ACT (RESPA)?

According to federal law, lenders are required to provide borrowers with a reasonable estimate of the costs they will incur prior to approving a loan. Lenders cannot get kickbacks from real estate agents.

More On This Topic



Link to This Definition
Did you find this definition of REAL ESTATE SETTLEMENT PROCEDURES ACT (RESPA) helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary