Gross Due from Borrower on the HUD-1 Settlement Statement

The 100 series on the HUD-1 Settlement Statement is titled "Gross Amount Due From Borrower", and will contain a summary of the purchase price, settlement charges from the second page sections 700 through 1300, and any amounts the buyer will owe the seller for items paid in advance by the seller but not used yet.

Examples of prepaid items that might be in this section are condominium association dues, homeowner association fees, prepaid taxes, etc. Any portion of these amounts that is paying for time or services from the closing date forward will need to be prorated and become a DEBIT to the Buyer and a CREDIT to the Seller. This will show up on the Seller side in the 400 series items.

Line 120 is the sum of the items in this section and is the gross amount that will be due from the borrower before adjustments in the next section. The total in line 120 will be entered in item 301.