Each housing loan closing have a HUD 1 in the final paperwork. The HUD 1 shows very clearly, and exactly what the buyer pays for closing a property. It also shows exactly who will receive each item, and it shows what the seller receives the proceeds of the mortgage and buying agents. It is important to look closely at the HUD to make sure you are clear as to who gets what on the closure.
With all the talk about reforming the mortgage industry, We try to make a change to how closing costs passed on to mortgage borrowers. It is our opinion that the good faith estimate of closing costs should reflect the HUD 1. Not only mirror, but I think agents and mortgage brokers should send estimated HUD 1 is rather good faith estimate. It would be so much easier for borrowers to check if there were any changes from the time of application to closing. As it is, to estimate the most good faith does not look like Hud 1.