ITIN – Individual Taxpayer Identification Number
ITIN numbers are issued by the IRS to individuals who do not have, and are not eligible to obtain, a valid U.S. Social Security Number, but who are required by law to file a U.S. Individual Income Tax Return.
Schedule K-1
The Schedule K-1 is an Internal Revenue Service (IRS) tax form issued annually for an investment in partnership interests. The purpose of the Schedule K-1 is to report each partner’s share of the partnership’s earnings, losses, deductions, and credits.
Title Company
The role of a title company is to verify that the title to the real estate is legitimately given to the home buyer. Essentially, they make sure that a seller has the rights to sell the property to a buyer.
Once a title insurance company has done its verification, it will back that guarantee with title insurance, which protects the lender and/or owner in the event that someone comes along and makes a claim to the property in the future.
The title insurance company also may be responsible for conducting the closing. It will maintain escrow accounts where your closing costs are kept until the day you close your loan.
What is a HUD or settlement statement?
The HUD-1 or Settlement Statement is a standard form in use in the United States, which itemizes services and fees charged to the buyer and seller in a transaction by the lender, brokers, closing agent and other third parties. The HUD-1 form is regulated by the Department of Housing and Urban Development.
Property Tax
property tax is a real estate ad-valorem tax, which can be considered a regressive tax. It is calculated by a local government where the property is located and paid by the owner of the property. The tax is usually based on the value of the owned property, including land.
Real estate Broker / Agent
A real estate broker, real estate agent or realtor is a person who represents sellers or buyers of real estate or real property. While a broker may work independently, an agent usually works under a licensed broker to represent clients.
Property Deed
Property deeds are legal documents used in real estate that transfers ownership of real property from a grantor (seller) to a grantee (buyer). Real property is land, or anything attached to the land, such as buildings or roads. For a deed to be legally operative, it must include the identification of the grantor and grantee and the adequate description of the property.
