HUD-1/Settlement Statement Red Flags
> Names and Addresses of seller and buyer are inconsistent with file.
> Excessive cash proceeds to buyer.
> Zero amounts due to/from buyer.
> Even dollar amounts on payoff of liens.
> Earnest money is not consistent with amount indicated on the sales contract and application.
> No real estate commission paid, but realtor indicated on sales contract.
> Settlement date delayed without satisfactory explaination.
> Sales price does not match sales contract.
> Look for unusual credits, disbrusement, deliquent loans being paid off, undisclosed liens or related parties.
> Excessive cash proceeds to seller.
> All of most of down payment is paid outside of closing.
> Unreasonable fees were charged.
> Disbursements were made to individuals or entities with no interest or leins on the subject property.
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