Deed of Trust

Document filed at the courthouse to secure the repayment of the loan and to establish the lender's lien on the property. This document details the lender's covenants and the process by which the lender may foreclose on the property if you do not make payments.

First Payment Letter

Statement showing the amount of the monthly principal and interest payment due on the loan along with the tax escrow and hazard insurance escrow (PITI) that the lender will be holding. This statement will be given to you at or after settlement.

Flood Insurance

Documents evidencing your agreement to purchase flood insurance if the Federal Government ever determines your home to be in a flood hazard area.

Although the majority of properties in this area are not in a designated flood hazard area, the lender will require this statement in order to protect its interests the case of a future crisis.

House Location Survey

Drawing showing the location of improvements (structures) within the boundaries of the property. A survey is not necessary if you are buying a condominium. MBH will arrange for the survey to be done for you, and a copy will be given to you at settlement.

HUD 1

This details all the charges and credits to the purchaser and seller, listing the purchaser's figures on the left-hand column of the page and the seller's on the right.

Information on the following is included in the settlement statement:

•           Lender Charges

•           Escrow

•           Settlement Fees

•           Governmental Charges

•           Additional Charges

•           Gross Amount Due

•           Credits to Purchasers

•           Seller's Payoffs

Loan Application

You may be asked to sign a typed COPY of the loan application to document that there have been no material changes in your employment, marital or financial status. This form is a cleaned-up version of the form you or your loan officer filled out when you first applied for your loan.

Loan Approval Letter

This is a Letter from the lender telling you that your loan has been approved on certain terms. You may receive this prior to or at settlement. The letter will include the loan amount, interest rate, number of years of the loan, and any additional requirements that must be complied with prior to or at settlement

Name Affidavit

Document showing variations of your name as found in public records or in your credit report. You must certify to the lender that you are the same person known as all the variations of your name as listed.

Promissory Note

Document evidencing your promise to repay the lender the principal amount you have borrowed, and setting forth the terms and conditions of repayment.

Tax Authorization

Written instructions to the local real estate taxing authority authorizing them to send the bill directly to the lender who is holding escrow for payment of that bill (if applicable).

Termite Inspections

The purchaser or seller provides a report, from a licensed exterminator, indicating any evidence of infestation. The seller is responsible for any required extermination and repairs. A copy of the inspection report will be given to you at or before settlement.

Truth-in-Lending Statement

Form disclosing to the borrower an estimate of the annual cost of the loan and the total cost over the life of the loan

W-9

IRS form to be signed by the seller(s), giving your social security number and new mailing address. At tax time, this form makes it possible for the lender to report the mortgage interest you paid. Consult your accountant or tax attorney for information on deductions available to you.