Bulletin: DC2017003

Date:
October 06, 2017
To:
All District of Columbia Issuing Offices
RE:
UNDERWRITING - First Time Homebuyer Recordation Tax Credit - Update

Dear Associates:

The purpose of this Bulletin is to advise agents that the DC Council passed emergency legislation on October 3, 2017, modifying the District of Columbia’s First Time Homebuyer Recordation Tax Credit. The Recorder of Deeds has published a new First Time Homebuyer Application which can be found here https://otr.cfo.dc.gov/sites/default/files/dc/sites/otr/publication/attachments/ROD%2011.pdf. This application should now be used for all applicable settlements. 

Please note that although it was originally anticipated that only the first two pages of the federal tax return would need to be submitted, the Recorder of Deeds is requiring all pages of the federal tax return be submitted, including all schedules. Lastly, the emergency legislation specifically states that any recordation tax determined to be owed after the deed has been accepted for recordation will be a liability of the grantee(s) solely. It is anticipated that the new application will facilitate the recording process. If you are observing recording delays with transactions involving the First Time Homebuyer Application, please contact your underwriter. 

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
DC2017002 UNDERWRITING - First Time Homebuyer Recordation Tax Credit
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None