Closing The Real Estate Transaction (Chapter 15)

Front 1

accrued items

Back 1

unpaid items to be prorated (such as unpaid current real estate taxes or interest on an assumed mortgage) that are owed by the seller but will be paid later by the buyer

Front 2

closing/settlement

Back 2

the point at which ownership of a property is transferred in exchange for the selling price; the consummation of the real estate transaction

Front 3

closing agent

Back 3

usually conducts the proceedings at a closing and calculates the division of income and expenses between the parties

Front 4

closing statement

Back 4

an accounting of all the parties' debits and credits as of the time of closing

Front 5

credit

Back 5

an amount payable to the buyer/seller

Front 6

debit

Back 6

an amount to be paid by the buyer/seller

Front 7

prepaid items

Back 7

expenses that have already been paid by the seller prior to closing and the buyer needs to rebate that portion to the seller

Front 8

Real Estate Settlement Procedures Act (RESPA)

Back 8

enacted to aid consumers during the mortgage loan settlement process and to protect consumers from abusive lending practices

Front 9

soil suitability test

Back 9

measures the soil's ability to absorb and drain water

Front 10

survey

Back 10

gives the purchaser information about the exact location and size of the property

Front 11

Uniform Settlement Statement (HUD-1)

Back 11

includes all charges paid in connection with the transaction, whether required by the lender or by a third party

Front 12

walk-through

Back 12

buyer/buyer's agent's final inspection of the property prior to closing