What Is an ALTA Settlement Statement?

"An ALTA settlement statement is a standardized, itemized disclosure form used in home sales to show the complete breakdown of all the money changing hands at closing. This document was created by the American Land Title Association (ALTA) to provide a transparent accounting of all parties involved in the sale. The primary purpose of an ALTA settlement statement is to ensure all parties clearly understand how the final numbers were calculated, including costs related to the purchase price, loan fees, title charges, taxes, commissions, and more."

"While the ALTA statement shows the full financial picture for both sides, the federally mandated Closing Disclosure (CD) is a buyer-only document required for most mortgage loans. Key differences: ALTA settlement statement Shows both buyer and seller debits and credits. Not regulated by federal law. Widely used in traditional, cash, investment, and commercial transactions. In many closings, buyers receive both documents, while sellers typically receive only the ALTA statement."

"Title companies, escrow agencies, or attorney-closing offices prepare the ALTA settlement statement. Recipients typically get a draft one to three days before closing, though some states and lenders may provide it earlier or later depending on file readiness. Updated versions are sent as final numbers are confirmed."

An ALTA settlement statement itemizes all monies exchanged at a real estate closing, detailing buyer and seller debits and credits. Title companies, escrow agencies, or attorney-closing offices prepare the form and provide draft versions typically one to three days before closing, with updates as final numbers are confirmed. The form lists purchase price, earnest money credits, loan fees, title insurance, taxes, commissions, and other settlement charges. The ALTA statement covers both sides of the transaction and is widely used in cash, investment, commercial, and traditional closings. The federally mandated Closing Disclosure differs by being buyer-focused and required for most mortgage loans.

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