About The HUD-1 Form

The HUD-1 is the form used to itemize most residential real estate transcations. In fact, all transactions using a federally related mortgage loan must be itemized on the HUD 1 form. The HUD 1 accounts for all monies exchanged between any and all parties associated with the transaction.

As a buyer or seller, you will hopefully receive the HUD-1 long before you are sitting at the closing table, giving us a chance to review it and question any charges, or to have the closing agent make any needed corrections.

The HUD 1 is broken up into sections of related charges. Page 2 of the HUD itemizes the monies paid by the borrowers (buyers), as well as those monies paid by the sellers.

Section L

700 -Itemizes those fees paid to any real estate brokers.

800 -Itemizes those charges paid in relation to any loans. These are the lenders fees.

900 -Items for which the lender requires advance payment. Usually interest, and mortgage and hazard insurance.

1000 -Reserves deposited with the lender. The lender wants a reserve fund for items that will be paid by the lender such as property taxes, homeowners’ (hazard insurance), etc.

1100 -Title charges. The title company provides insurance for both the lender and buyer, and handles the closing. Those charges are itemized here.

1200 -Government recording and transfer charges. This is where any fees associated with recording of documents and fees charged by the government are itemized.

Sample HUD 1 form.