The HUD-1 Settlement Statement

The HUD-1, also known as the settlement statement, is a prescribed form from the U.S. Department of Housing and Urban Development (HUD). This form itemizes all charges imposed on the borrower and all charges imposed on the seller in connection with the settlement of your real estate transaction.

The HUD-1 is filled out by the settlement agent who will conduct the closing. In cases where there is no settlement meeting, the escrow agent will mail you the HUD-1 after settlement, and you do have the right to inspect it one day before settlement. Often times, though, final changes are being made to the settlement statement the day of close.

The HUD-1 will be signed by all parties involved in the transaction:  buyers, sellers and the settlement agent.  If a buyer or seller cannot be at closing, this statement can be signed by an agent for that party. 

Items on the settlement statement can include but are not limited to:

• Lender fees and/or Lender credits
• Settlement agent fees
• Title company fees
• Recording fees
• Prepaid interest on your new loan
• Escrows for taxes and/or homeowners insurance
• Third party fees
• Credits to/from the seller
• Credit for any deposit paid on the sales contract

Many of these items will be familiar to you, as you will have seen estimated figures on your Good Faith Estimate.