What are typical closing cost disclosures required by RESPA?

• A. Disclosures of estimated settlement costs and prohibitions on kickbacks; lenders must provide a Closing Disclosure detailing final costs.
• B. Only the title search results.
• C. A copy of the appraisal report only.
• D. A note about property taxes with no cost details.

Answer: (A)

RESPA aims to ensure buyers know what closing costs will be and to prevent kickbacks and unearned fees. The typical disclosures include two key pieces: an estimate of settlement costs provided early in the loan process, and a Closing Disclosure that lists the final costs to be paid at closing. This combination gives borrowers a clear picture of both anticipated charges and what they’ll actually owe when the deal closes. The other options don’t provide this essential cost information—they mention only a title search, or only an appraisal, or a tax note with no cost details—so they don’t meet RESPA’s requirement for transparent closing-cost disclosures.