 The second page assigns settlement charges to the Borrower (Buyer), or the Seller. Totals from Borrower's column and Seller's column are carried to the first page as "Settlement Charges to the Borrower" and "Settlement Charges to Seller."
 Real estate commissions, listed at the top of the page, are normally charged to the seller. In this case, the Seller did Not use a real estate agent, so the charge is zero.
| Total Sales / Broker's Commission |
Paid From Borrower's Funds |
Paid From Seller's Funds |
| Commission paid at Settlement |
$ |
$ |
The second group of charges relate to the cost of processing a mortgage. These charges are assigned to the Borrower or the Seller based on what was agreed in the Sales Contract.
In our example the Seller had agreed to pay up to $3,000 in mortgage closing costs. The total comes to $3,060, so $60 is assigned to the Borrower (Buyer).
| Items Payable in Connection With Loan |
| |
Paid by Borrower |
Paid by Seller |
| Loan origination Fee |
$ 60 |
$ 2,390 |
| Appraisal Fee |
$ |
$ 310 |
| Lender's Inspection Fee |
$ |
$ |
| Assumption Fee |
$ |
$ |
| Underwriting Fees |
$ |
$ 300 |
Items the mortgage lender requires to be paid in advance are grouped next. These are usually charges to the Borrower.
| Items Required by Lender to be Paid in Advance |
| |
Paid by Borrower |
Paid by Seller |
| Interest |
$ 25 |
$ |
| Mortgage Insurance Premium |
$ 0 |
$ |
| Hazard Insurance Premium |
$ 300 |
$ |
The final group of mortgage related charges are the reserves deposited with the mortgage lender to set up an escrow account. Funds in the escrow account are used by the lender to pay things such as property taxes for the Borrower / Buyer. They are charged to the Borrower.
| Reserves Deposited With Lender |
| |
Paid by Borrower |
Paid by Seller |
| Hazard Insurance |
$ 60 |
$ |
| Mortgage Insurance |
$ 0 |
$ |
| Property Tax |
$ 468 |
$ |
| Annual Assessments |
$ |
$ |
Fees to establish and guarantee the legitimacy of the title are grouped and assigned to Borrower and Seller based on agreements in the sales contract.
| Title Charges |
| |
Paid by Borrower |
Paid by Seller |
| Title Search |
$ |
$ 150 |
| Title Insurance |
$ |
$ 295 |
| Document Preparation |
$ |
$ 125 |
| Notary Fees |
$ |
$ |
| Attorney Fees |
$ |
$ 250 |
Government recording and transfer charges are grouped near the bottom of the page.
| Government |
| |
Paid by Borrower |
Paid by Seller |
| Recording Fees |
$ |
$ 25 |
| Tax & Stamps |
$ |
$ 50 |
The last group of charges is a miscellaneous category.
| Additional Settlement Charges |
| |
Paid by Borrower |
Paid by Seller |
| Survey |
$ |
$ |
| Pest Inspection |
$ 125 |
$ |
| Courier Service |
$ |
$ 35 |
| Total Settlement Charges (enter here and on First page) |
$ 1,038 |
$3,930 |
| |
Paid From Borrower's Funds |
Paid From Seller's Funds |
|
