When must the uniform settlement statement be utilized during closing?

The correct choice pertaining to the requirement for using a uniform settlement statement is when the borrower receives a good faith estimate. This statement is a standard form required by federal law for certain real estate transactions, primarily to ensure transparency and provide clear information about the terms of the financing and the costs associated with closing the transaction.

When a borrower receives a good faith estimate, it signals the beginning of the loan process where the lender provides an estimate of fees and terms. This estimate helps borrowers understand the potential costs they may incur, and following it, the uniform settlement statement is utilized to provide a detailed account of the actual costs and charges at closing. The aim is to make sure that the borrower is informed and that the fees align with what was previously estimated.

The other options do not trigger the requirement for the uniform settlement statement. For instance, a cash buyer does not necessitate this document, as it is more relevant in financed transactions. Similarly, the seller agreeing to the sale or the property being financed by an investor does not directly relate to the need for this specific form. The uniform settlement statement is primarily tied to borrower disclosures and the loan process, reinforcing its role in ensuring consistency and clarity for buyers in financed transactions.