Uniform Settlement Statement (HUD-1 Form)

Uniform Settlement Statement Definition

Uniform Settlement Statement is commonly known as “HUD 1 form“ by real estate and mortgage practitioners, it is the single form that is required by the Real Estate Settlement Procedures Act (RESPA), that discloses all funds received, all disbursements made, and all expenses and all credits at closing in a real estate transaction.

Explanation

This form is typically prepared by an escrow company or escrow attorney. It is typically received by the buyers at least 24 hours prior to closing, so that they have time to review and approve of it.
It is the Uniform Settlement Statement that both buyers and sellers should retain with their important records, for the purposes of preparing their income tax returns following their real estate closings, as some of the expenses for both parties are actually tax-deductible.

Jim Eyre

LOAN OFFICER

Expert contributor at RealEstateWords.com

 

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