What is a HUD-1 settlement statement?

A HUD-1 settlement statement is a document that outlines the fees for services that the broker or lender has charged for a real estate transaction, explains CLA Title & Escrow. Charges include the money exchanged between the buyer and seller of the property and other associated closing costs.

If the purchase involves financing, the HUD-1 settlement statement also outlines the title charges and escrow fees. The HUD-1 form also lists property taxes. Typically, the settlement, or escrow agent, prepares the form for closing. The form, divided into several sections, helps the parties clearly understand the fees involved in the transaction, reports CLA Title & Escrow.