What we handle
- The settlement statement. Prepared from the contract, commitment, payoff letters, HOA figures, tax prorations, commissions and your fee schedule.
- Line-by-line balancing. Every fee checked against the lender's CD for amount, section and who pays it.
- A discrepancy list. What doesn't match and why, ready for you to send to the lender, or for us to send under your direction.
- Updates. When the lender re-issues the CD, the contract changes or a payoff updates, we re-balance and tell you what moved.
- Final figures for your approval. Nothing is final until you sign off.
Tennessee recordation taxes
Tennessee figures two recordation taxes that have to be on the statement before it goes to the lender:
| Tax | Rate (per the Tennessee Department of Revenue) |
|---|---|
| Realty transfer tax | 37¢ per $100 of the greater of the consideration paid or the property's value |
| Mortgage (indebtedness) tax | 11.5¢ per $100 of principal indebtedness; the first $2,000 is exempt |
Example only, using those rates: a $250,000 purchase carries $925.00 in transfer tax, and a $200,000 deed of trust carries $227.70 in mortgage tax (($200,000 − $2,000) ÷ 100 × $0.115). Recording fees come from each county's own fee schedule, and who pays each tax follows your contract.
What stays with you
- Approving the final figures.
- Escrow, wires and disbursement.
- Communication with consumers about their loan terms, which belongs to the lender.
Sources
- Tennessee Department of Revenue, Recordation Tax overview: https://revenue.support.tn.gov/hc/en-us/articles/360057241552-REC-1-Recordation-Tax-Overview
- Tenn. Code Ann. § 67-4-409 (recordation tax and oath of consideration): https://law.justia.com/codes/tennessee/title-67/chapter-4/part-4/section-67-4-409/
County and state requirements change. We confirm them on each file; this page is general information, not legal advice.