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Paperwork You Will Sign
On closing day you will have a series of closing papers to sign. It is important that you review each of these documents with your real estate agent or attorney before signing them.
Real Estate Settlement Procedures Act (RESPA) - Statement that acknowledges that you have been informed about how the closing process works, and that you fully understand all the closing documents and financial obligations related to your mortgage.
more RESPA info
Truth in Lending Disclosure Statement (TIL) - Final statement that requires lenders to disclose all the actual terms and conditions of the loan. The final disclosure statement makes any corrections to the preliminary Truth in Lending Disclosure statement you received when you applied for the loan.
HUD-1 Form (Settlement Statement) - Standard settlement statement developed to comply with Real Estate Settlement Procedures Act (RESPA). The form itemizes each payment made by the respective parties in the transaction.
sample HUD-1 Form page 1 and page 2 in PDF format
detailed explanation of HUD-1 Form
Mortgage Note - Buyer's commitment to repay the mortgage. The note stipulates terms for the loan including the loan amount, interest rate, address to send payments, maturity date for mortgage, frequency of payments, and the change dates for adjustable rate mortgages.
Security Instrument (Mortgage or "Deed of Trust") - Pledge of the property as security for the loan. The document stipulates the same basic debt information that is found in the note and is recorded.
Warranty Deed - Legal document that transfers the title from the seller to the buyer. The deed identifies the name of the seller as the grantor and the name of the buyer as the grantee.
Other documents - Depending on local laws and customs other documents may be used in your closing process. On the next page are some of the more common documents used.
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