DEFINITION of 'Settlement Statement'

A statement that summarizes all the fees and charges that both the homebuyer and seller face during the settlement process of a housing transaction. This form, which is under the jurisdiction of the U.S. Department of Housing and Urban Development, is also known as the HUD-1.

BREAKING DOWN 'Settlement Statement'

Other things that are listed on a summary statement include the property's purchase price, the size of the homebuyer's mortgage loan and any points or similar deductions that the homebuyer has incurred.

Typically, a homebuyer has the right to examine the settlement statement one business day before settlement.

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