Compliance Updates: September 2025 In Review

Our team of experts at Docutech continually review requirements for document changes and publish real-time updates. To help keep you in the know, the monthly Docutech Compliance Recap brings you the most recent compliance updates. 

Here’s our latest recap:

Document Updates

• Under Texas Property Code §53.255(a), contractors are required to deliver a disclosure statement to property owners before executing a residential construction contract. The statute also provides specific language that must be included in the disclosure. Following a recent audit, minor revisions were made to the document—primarily replacing terms like “retainage” and “withholding” with more statute-aligned terminology such as “statutory reserve” and “reservation”. Read more.

• As part of an ongoing document review, Docutech is removing the phrase “a corporation organized and existing under the laws of_________” from multiple assignment documents. This change aligns with practices adopted by other First American entities more actively involved in drafting and filing assignments. The phrase is being removed from both MERS and non-MERS versions of assignments across numerous states, including AK, TN, IL, WV, AR, DE, GA, CA, CT, FL, VT, NV, PA, OR, IA, HI, and RI. Read more.
• The VA Form 26-1820, used for reporting and certifying loan disbursement, must be submitted within 60 days of full disbursement per 38 CFR § 36.4303. A key revision was made to Line 15, which pertains to discount points financed. Previously, a value was printed for any financed discount points, but now the form will only display a value when the loan is a VA IRRRL (Interest Rate Reduction Refinance Loan), in accordance with the line’s instruction “IRRRL ONLY”. Read more.
• Docutech updated the document to align with NY Banking Law § 35, requiring lenders to provide a multilingual pamphlet to mortgage applicants. The latest revision updates the hyperlink to match the official version published by the New York State Department of Financial Services (NYDFS). Read more.
• To comply with Mo. St. 59.310.2, Docutech has revised several Missouri Deed of Trust documents to ensure required recording information—such as title, date, grantor/grantee names, marital status, statutory addresses, and legal description—appears on the first page. Notably, the coversheet was removed from Cx491 and the Property Address field in Cx1355 was repositioned for consistency across forms. Read more.
• Following a rule-making hearing on July 16, 2025, the Colorado Board of Mortgage Loan Originators voted to repeal Rules 5.7 and 5.8, eliminating the requirement for mortgage loan originators to provide the Tangible Net Benefit Disclosure Form. As a result, Docutech is retiring Cx12873, although it will still print for clients with custom configurations. Read more.
• Docutech revised several Texas disclosure forms to include a citation in the top left corner and made minor formatting adjustments. Affected documents include disclosures and conditional letters for both mortgage bankers and mortgage companies, such as Cx2999, Cx3883, Cx16682–Cx16685, aligning them with relevant sections of the Texas Administrative Code. Read more.
• The formatting of Enhanced Prepayment Fee documents have been updated to bold the “Prepayment Terms” section across all states. This change ensures compliance with investor and state requirements, regardless of whether the field for state-specific language is used. Affected documents include Cx12387, Cx12388, and Cx12389. Read more.
• Effective October 1, 2025, Maryland law now requires lenders to disclose assumption provisions in conventional home mortgage loans before the completion of the loan application. To comply, Docutech created Cx28523, which will be included in Maryland Pre-Disclosure packages. The disclosure aligns with FNMA model language and is triggered by a new field, “Print Maryland Assumption Notice.” Additionally, Docutech updated logic for the LE/CD assumption disclosure to reflect that loans may be assumable under certain conditions. Read more.
• Following the passage of Maryland House Bill 347, effective October 1, 2025, recorded documents in Maryland must now include a 3-inch top margin on the first page and 1-inch margins on the left and right sides of each page. Docutech audited 84 applicable documents and updated nine, including Maryland-specific forms like Cx4039, Cx4468, and Cx15803, as well as multistate and rider documents. Read more.
• Formatting and content updates have been made to both loan commitment documents for California and Montana. These changes are part of broader document maintenance efforts to ensure consistency and compliance across state-specific forms. Read more.
• Docutech revised the Notice section of the Minnesota HELOC to match updated language in related documents Cx490 and Cx25302, incorporating provisions for electronic notification if the borrower consents. This ensures consistency across the document library and aligns with Fannie Mae model forms. Read more.
• The Spanish-language version of the Social Security Number Verification form has been revised to match the official model published by the Social Security Administration. This update ensures full alignment with federal standards and reflects the latest formatting and content requirements. Read more.
• Docutech revised the checklist to better match the USDA model form. Key changes include relocating header information, removing the Rural Development logo, updating the FEMA form title to FEMA Form FF-206-FY-21-116, and eliminating references to “Evidence of qualified alien” in underwriting tables. Formatting and instructional updates were also made throughout the document. Read more.
• Several Texas security instruments have been revised to allow suppression of witness signature lines when the document is notarized, in accordance with 7 TAC §§ 90.403, 90.503, and 90.603, and Fannie Mae’s instructions. The change affects documents like Cx9421, Cx9423, and Cx19173, and is controlled by setting the field “Print Witness Lines on Security Instrument” to “No”. Read more.
• The form was revised to comply with Mo. Ann. Stat. § 443.867, which requires mortgage brokers to disclose the amount and sources of all fees and compensation. Due to ambiguity in the statute, the field used to calculate the total Origination Fee now excludes discount amounts and uses a more precise field to reflect Section A charges. Read more.
• The opt-out mail-in form included in the North Dakota-specific Privacy Policy Notice has been updated to reflect a change in signature requirements. Previously configured for e-signature, the form is now set to ink-sign only to align with its intended use for physical mailing by borrowers. Read more.
• In response to Maryland Senate Bill 689, Fannie Mae added a new paragraph to the Maryland Security Instrument Model Form 3021. Paragraph 30, titled “Assumption upon Decree of Absolute Divorce,” allows a borrower to assume the loan portion of another borrower following a divorce, provided they qualify. This applies only to conventional loans that are not federally insured or guaranteed, involve owner-occupied dwellings, and are primarily for personal use. The update appears in documents like Cx25299, Cx487, and Cx3040, with footer revisions applied across all versions for consistency. Read more.
• To improve accuracy, a new “First Lien Vesting” field has been added to several Requests for Notice of Default documents. If this field has a value, it will print; otherwise, the existing “Borrower Vesting” field will continue to display. Affected documents include Cx471, Cx496, Cx3044, Cx3475, Cx4885, Cx15163, and Cx22821. Read more.
• To meet the requirements of Mo. Ann. Stat. § 443.867, which mandates disclosure of all broker fees and compensation, the field used to calculate the total Origination Fee was adjusted. It now excludes discount amounts and uses a more precise field that reflects Section A charges. Read more.
• Witness signatures are now optional on Texas Plain Language Security Instruments under 7 TAC §§ 90.403, 90.503, and 90.603, and per Fannie Mae’s instructions. Signature lines may be suppressed when the document is notarized by setting the field “Print Witness Lines on Security Instrument” to “No.” This update applies to documents such as Cx9421, Cx9423, and Cx19173. Read more.

The above information is for informational purposes only and is not and may not be construed as legal advice. No third-party entity may rely upon anything contained herein when making legal and/or other determinations regarding its practices, and such third party should consult with an attorney prior to embarking upon any specific course of action.