Create a closing statement detailing debits and credits for seller and buyer

Case Facts:

Closing is April 30, 2021

Sales Price: $670,000

Buyer paid Earnest Money at the time of offer: $7,000

Buyer is getting a convention loan with a 20% down payment

Sellers existing loan payoff is $200,000

Seller also has a HELOC with a payoff amount of $12,337

Seller has agreed to give the buyer a credit in the amount of $2,212 for inspection related repairs at closing.

Due to concerns over the age of the furnace, the Seller has agreed to pay for a home warranty that will cost $600. This will be collected by the title company and remitted to the home warranty company directly.

Lender fees:

• Appraisal $875.00
• Credit report Fee $23.56
• Document preparation fee $450
• Flood certification fee $10.65
• Origination fee $845
• Lenders Title Insurance $550
• Owners Title Insurance ($1,349) with extended coverage ($75 Seller paid expense).
• Recording Fee $175

2020 Property taxes not yet paid by the Seller are $3,890.76

2021 Property taxes will not be paid until 2022

HOA dues of $500 for 2021 have already been paid by the Seller.

Escrow/Reserves: Lender requires a 3-month reserve for taxes and insurance (hint escrow reserves refer to a particular amount of money the lender requires to be set aside in an escrow account to pay for the property taxes or insurance premiums at a later date). This is collected from the Buyer at closing.

Buyers Hazard Insurance premium is $2,893.50 per year.

Settlement/Closing Fee $340, to be split equally by the Buyer and the Seller.

The Listing Broker is charging Commission of 6%.

Closing Statement Date of Proration: Seller Buyer Item Debits Credits Debits Credits 1 Purchase Price 2 Earnest Money 3 Principal amount of new loan 4 1st Loan Payoff 5 2nd Loan Payoff 6 Taxes for _2020 7 Taxes for _2021 8 Appraisal Fee 9 Credit Report Fee 10 Document Preparation Fee 11 Flood Certification Fee 12 Origination Fee 13 Lender's Title Insurance 14 Owner's Title Insurance 14a Owner's Extended Coverage 15 Recording Fee 16 Escrows Deposited with Lender 16a. Hazard Insurance Reserve 165. Property Tax Reserve 17 Real Estate Closing Fee 18 Seller Concessions 19 Home Warranty 20 Broker's Fee 21 HOA Dues Subtotals 0.00 0.00 0.00 0.00 Balance due tolfrom: 0.00 0.00 Total 0.00 0.00 0.00 0.00 Closing Statement Date of Proration: Seller Buyer Item Debits Credits Debits Credits 1 Purchase Price 2 Earnest Money 3 Principal amount of new loan 4 1st Loan Payoff 5 2nd Loan Payoff 6 Taxes for _2020 7 Taxes for _2021 8 Appraisal Fee 9 Credit Report Fee 10 Document Preparation Fee 11 Flood Certification Fee 12 Origination Fee 13 Lender's Title Insurance 14 Owner's Title Insurance 14a Owner's Extended Coverage 15 Recording Fee 16 Escrows Deposited with Lender 16a. Hazard Insurance Reserve 165. Property Tax Reserve 17 Real Estate Closing Fee 18 Seller Concessions 19 Home Warranty 20 Broker's Fee 21 HOA Dues Subtotals 0.00 0.00 0.00 0.00 Balance due tolfrom: 0.00 0.00 Total 0.00 0.00 0.00 0.00