Mortgage Loan Originator (MLO) Licensing Practice Test 2025 - Free MLO Practice Questions and Study Guide

The party responsible for completing the HUD-1/Loan Disclosure is the closing agent. The HUD-1 Settlement Statement is a document that outlines all the costs associated with a mortgage settlement, including fees charged by the lender, closing costs, and other expenses related to the transaction.

The closing agent plays a critical role in the real estate transaction, as they ensure that all financial aspects of the closing are accurately reflected on the HUD-1 form. This includes gathering necessary information from both the lender and the borrower, as well as ensuring that all disclosures are made in compliance with the law. By organizing and finalizing the transaction, the closing agent is able to provide an accurate account of the closing costs and how the funds will be disbursed, making them the appropriate party to complete the HUD-1/Loan Disclosure.

While the lender may provide information regarding their fees, the borrower may submit information regarding their loan application, and real estate agents typically facilitate the transaction, none of these parties have the specific responsibility for completing the HUD-1 form itself.