A HUD-1 is a document regulated by HUD. It is the financial accounting for a real estate sale. The HUD 1 statement is universally used by most closing agents. Here is why a HUD-1 is important in a Real Estate Transaction.
A HUD-1 breaks down all the projected closing costs as well all costs and proceeds by either buyer or seller. The contract between the seller and home buyer will be the determining factor what is charged to whom.
When applying for a loan the lender must provide you a copy of the HUD Booklet “Settlement Costs to You”. The HUD reflects all charges and credits to the buyer and seller and both will get a clear picture when buying a home. It is to protect the buyer for unexpected cost charged by lenders or service providers.
Most agents should be familiar with a HUD-1. They see them at the closing of every home they sell. But, seeing a HUD-1 at a closing is not the same as being familiar with it.
I’m very familiar with the HUD-1 and I’m able to explain in detail and answer any questions you may have. Or, if you prefer, you can call us in Tallahassee at (850) 364-3946 or Fort Lauderdale at (954) 543-1794
Florida Connects Inc.
Real Estate Broker
Annett T. Block