The Closing Disclosure (CD)
If you are financing, federal rules require your lender to deliver the five-page Closing Disclosure at least three business days before consummation. It shows your final loan terms, projected payments, and closing costs. Certain changes—APR, loan product, or a prepayment penalty—restart the three-day clock.
The Settlement Statement
The title agency prepares the settlement statement (often an ALTA Settlement Statement) for both buyer and seller. It itemizes every credit and debit: purchase price, deposits, prorations, payoffs, transfer fees, title charges, and the final cash to close or proceeds. Sellers receive their own version.
What to compare
Your cash-to-close on the CD and the settlement statement should match. Title and settlement fees, recording fees, and prepaid items appear on both. If a number differs, ask before closing—not after.
Lines that surprise buyers
Prepaid interest (from closing to the first of the following month), initial escrow deposits for taxes and insurance, and the owner’s title premium are the usual surprises. None are hidden—they are simply not part of a monthly-payment conversation.
Lines that surprise sellers
The realty transfer fee, payoff interest through the disbursement date, and municipal charges (final water/sewer, open assessments) are the common ones. Sellers should also review commission and any credits agreed in the contract.
Ask for it early
A good title agency delivers the settlement statement for review before closing day. Read it with your attorney; the table is for signing, not for discovering.
This article is general information about New Jersey real estate transactions and is not legal, tax, or financial advice. Laws, regulations, and fee schedules change; confirm current requirements with your attorney. Crystal Alliance Title is a title insurance agency, not a law firm.
