What is a HUD-1 Document?

The HUD-1 is an important form to review and understand before you complete your refinance or home purchase. The HUD-1 is a standard form used to itemize services and fees charged to the borrower by the lender (or broker) when applying for a loan. HUD refers to the Department of Housing and Urban Development.

The borrower has the right to inspect the HUD-1 one day prior to the day of settlement (although entries may still be coming in a few hours before closing) and will showcase the actual amount of money you’ll need to bring to closing (if any). The form is filled out by the settlement agent who will conduct the settlement.

Since 2010, the HUD-1 settlement statement also contains what is referred to as a Comparison Table of the Good Faith Estimate or GFE and the HUD-1 Charges. This additional set of figures specifies estimated settlement figures provided by the lender upon application of the loan along with the amounts actually being charged.

Borrowers may compare their GFE to the HUD-1 Settlement Statement and ask their lender or broker about any changes.

Most buyers and sellers study the HUD form with their real-estate agent, the settlement agent, and/or their own attorney. The more people who review it, the greater the likelihood of identifying any errors.

[cta]Our Reliance First Capital professional is here to answer your pressing questions regarding your mortgage. Contact your Reliance First Capital mortgage analyst, Larry Karpen (NMLS ID #58775), at lkarpen@reliancefirstcapital.com or (516) 422-8816, ext. 1.[/cta]