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Glossary
Mortgage closing terms and loan costs
100. Gross Amount Due From Borrower
Page 1 of the HUD-1 Settlement Statement summarizes all actual costs and adjustments for the borrower and the seller, including total settlement fees and charges found on line 1400 of Section L.
101. Contract Sales Price
This is the price of the home agreed to in the sales contract between the buyer and seller.
102. Personal Property
If, at the time the sales contract was made, you and the seller agreed that some items were to be transferred with the home, the price of those items is entered here. If it was agreed to include these items in the price of the home, their cost will be part of the sales price recorded on line 101. Personal property could include items such as carpets, drapes, stove, refrigerator, etc.
103. Settlement Charges to Borrower
The total charges for the borrower detailed in Section L and totaled on line 1400, are recorded here. This figure includes all of the items payable in connection with the loan, items required by the lender to be paid advance, reserves deposited with the lender, title charges, government recording and transfer charges, and any additional related charges.
104-105. Additional Costs
This space is for listing any additional amounts owed the seller, such as reserve funds if the buyer is assuming the seller?s loan. This may not be applicable to your settlement.
106-112. Adjustments
These include taxes, front footage charges, insurance, rent, fuel and other items that the seller has previously paid for covering a period which runs beyond the settlement date. The costs are usually divided on a proportional basis with the seller being reimbursed for charges accruing after the date of transfer of title.
120. Gross Amount Due
This is the total of lines 101 through 112.
200. Amounts Paid By or On Behalf of Borrower
(See items 201-220)
201. Deposit of Earnest Money
This is the amount which you paid against the sales price when the sales contract was signed. It is credited to the purchase.
202. Principal Amount of New Loan
This is the amount of the new mortgage which you will repay to the lender in the future.
203. Existing Loan(s)
If you are taking over the seller?s mortgage(s) instead of obtaining a new loan, the amount still owed on those prior loans will be shown here.
210-219. Adjustments
This includes taxes or assessments which become due after settlement, but which the seller pays because they cover a period of time prior to settlement. See "Reserve Accounts" for a further discussion of these matter.
220. Total Amounts Paid By/For Borrower
This is the sum of lines 201 through 219.
300. Cash At Settlement From/To Borrower
Remaining are the summary lines which are 301?303 for the borrower (and 601-603 for the seller). Subtracting line 302 (gross amount paid by or for the borrower) from line 301 (gross amount due from the borrower) results in the net cash the borrower must pay at settlement. For more information please contact Prime Lend America Mortgage Corporation - Call Toll-Free: 1-877-US-PRIME
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