How do you read a HUD-1?

The top of the first page of the HUD-1 shows information about the parties, the mortgage, and the closing. The file number (Section B. 6.) is the settlement agent’s file number, and you will be asked for it if you call the escrowee (or title insurer, if the same company) with title or escrow questions.

What is the difference between a HUD-1 and HUD-1 A?

The HUD-1 form is used in purchase transactions, and it includes lines for both borrower charges/fees and seller charges/fees. The HUD-1A is an option, instead of using the HUD-1, for loan transactions that do not include a seller (refinance). The HUD-1 is three pages, while the HUD-1A is only two pages.

How do I fill out a HUD-1 settlement statement?

Completing Part B of HUD-1 Fill in the property location and the name and address for the borrower, seller and lender. The settlement agent, date and location also are needed. Fill in the appropriate lines in sections J and K, which are summaries of the borrower’s and seller’s transactions, respectively.

How do you explain HUD?

What Is HUD’s Mission? The Department of Housing and Urban Development is the Federal agency responsible for national policy and programs that address America’s housing needs, that improve and develop the Nation’s communities, and enforce fair housing laws.

Who fills out the HUD-1 form?

A HUD-1 or HUD-1A Settlement Statement is prepared by a creditor or, more typically, by the settlement agent who conducts the closing on the creditor’s behalf.

Where can I get a HUD-1?

Three companies may have copies of it: the bank, the Title Company (aka settlement company), and perhaps the real estate agent. The bank (assuming you had a mortgage) is usually the easiest one to contact, as you’re probably still making payments to them.

Who gets a copy of the HUD-1?

The law also requires that borrowers be given a copy of the HUD-1 at least one day prior to settlement, although figures can be added, corrected, or updated up to the time the parties are seated at the closing table. Most buyers and sellers review the form with a real estate agent, attorney, or settlement agent.

Can you still use a HUD-1?

The HUD-1 Settlement Statement is a standard government real estate form that was once used by settlement agents, also called closing agents, to itemize all charges imposed upon a borrower and seller for a real estate transaction. The statement is no longer used, with one exception—reverse mortgages.

Is a HUD-1 required for a cash sale?

Federal law does not require the use of the HUD-1 or the new Closing Disclosure in all cash transactions. While some states have laws requiring the use of a state promulgated form in cash transactions, in general the HUD-1, the Closing Disclosure or any other settlement statement can be used in cash transactions.

Is HUD 1 still used?

The HUD-1 settlement statement is still used in 2019 for reverse mortgages . These types of mortgages are very popular with sellers over the age of 62 who want to pull equity out of their homes.

What is the HUD-1 Settlement Statement?

HUD-1 Settlement Statement. Jump to navigation Jump to search. HUD-1 Settlement Statement. The HUD-1 Settlement Statement is a standardized mortgage lending form in use in the United States of America on which creditors or their closing agents itemize all charges imposed on buyers and sellers in consumer credit mortgage transactions.

When is a HUD 1 required?

The HUD-1 must be used in any transaction where a federally regulated mortgage (deed of trust) is involved. In your case, because you are selling for cash, you don’t need to use that form. However, it’s a good form, and can be of assistance to you and your buyer when you both are preparing your income tax returns.

What is final HUD?

😉 The phrase final HUD-1 is meant to distinguish between preliminary or draft HUD-1 forms that may have been circulated prior to closing. A final HUD-1 is the official document which has been approved by all parties and is signed at the closing and becomes the formal record of the movement of money for the transaction.