What documents will I need to sign at closing?

When closing on a mortgage in North Carolina, it is important to be familiar with the documents that will need to be signed. The different documents will vary depending on the type of mortgage loan you are obtaining. Generally, some of the documents you can expect to sign include a promissory note, Truth-in-Lending Statement, HUD-1 Settlement Statement, and Mortgage or Deed of Trust. The promissory note is an agreement to repay the loan amount according to the terms of the loan contract. This document includes details such as the amount of the loan, interest rate, and repayment schedule. The Truth-in-Lending Statement is an important disclosure created by the federal government to ensure that lenders provide the same information to all borrowers. It provides information about the loan’s cost and terms, including the annual percentage rate (APR) and the total amount of interest that will be paid over the life of the loan. The HUD-1 Settlement Statement is another document that is required for all mortgage loans. It is a detailed summary of all loan costs and fees associated with the transaction. It includes both the lender and borrower’s total costs such as closing costs, origination fees, and other loan-related expenses. Lastly, the Mortgage or Deed of Trust is the document that secures the loan agreement. It is an agreement that the lender holds the title to the property until the loan is paid in full. These documents are necessary to understand the terms of the mortgage and to make sure that you are informed and in agreement with the loan terms. It is important to be familiar with the mortgage law in your state and take the time to completely understand all of the documents before signing.

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What documents will I need to sign at closing?

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