Can the CD be signed electronically?

Yes. Under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws, electronic signatures are generally enforceable provided intent, consent, attribution, and record retention standards are met.

Is notarization required for the CD itself?

Typically the CD is not notarized, but related instruments (deed, mortgage or deed of trust, affidavit) often require notarization under state law and must follow those rules for recording.

What happens if figures change after signing?

Material changes may trigger a revised disclosure and a new waiting period. Confirm whether the change is material under applicable consumer protection or lending rules.

Are remote notarizations allowed?

Many states permit Remote Online Notarization (RON) with identity proofing and recording of the session; check state notary commission rules before using RON.

Who retains the final signed CD?

The closing agent or title company typically retains the original signed CD; all parties should receive a copy and the settlement agent should preserve audit trails and signed PDFs.

Can terms be amended after closing?

Post-closing amendments are possible but should be memorialized in writing and signed by parties; amendments may need recording if they affect the security instrument or title.

Electronic Signature
Templates
Finance
Seller's Financing CD

Seller's Financing CD

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

SELLER'S FINANCING CLOSING DISCLOSURE

This Seller's Financing Closing Disclosure documents the principal terms, closing costs, and obligations in connection with the sale of the property described below and the seller-provided financing to the buyer. Seller and Buyer acknowledge receipt of a copy of this disclosure and certify that the terms shown are complete and accurate to the best of their knowledge.

Parties and Contact Information

Seller Name Seller Address Seller Phone / Email Buyer Name Buyer Address Buyer Phone / Email

Property and Transaction

Property Address:

Legal Description / Parcel ID:

Sale Price: $ Earnest Money / Deposit: $

Anticipated Closing Date: Recording Jurisdiction:

Seller-Financed Loan Summary

Loan Amount (Principal): $ Interest Rate (per annum): APR:

Term: Payment Frequency:

Regular Payment Amount: $ Number of Payments:

First Payment Due Date: Balloon Payment: If checked, Balloon Amount: $

Security Instrument:

Itemized Closing Costs and Credits

Description	Amount (Seller)	Amount (Buyer)
Purchase Price	$	$
Seller Credit to Buyer	$	$
Title Charges / Escrow Fee	$	$
Recording and Transfer Taxes	$	$
Prorated Real Estate Taxes	$	$
Other Charges (describe)	$	$
Subtotal	$	$

Cash to Seller (Net Proceeds): $ Cash from Buyer at Closing: $

Loan Charges and Fees

Loan Origination Fee: $ Discount Points: $

Interest from Closing to First Payment: $ Prepayment Penalty: If checked, describe:

Late Payment Fee: Default Interest Rate:

Escrow, Taxes, Insurance

Escrow Account Required for Taxes/Insurance: Initial Escrow Deposit: $

Insurance Requirements:

Default, Remedies, and Additional Terms

Default: Borrower's failure to make any scheduled payment within the grace period constitutes default. Upon default, Seller may accelerate the remaining indebtedness, declare all sums due and payable, and pursue remedies permitted by the security instrument and applicable law, including foreclosure and recovery of attorneys' fees and costs.

Acceleration and Remedies: Any acceleration, foreclosure or other remedy shall be governed by the security instrument executed contemporaneously with the Promissory Note. The parties agree that Seller's exercise of one remedy shall not preclude Seller's exercise of any other remedy.

Assumption and Transfer: This loan may be assumed by a subsequent purchaser subject to Seller's prior written consent which may not be unreasonably withheld. Transfer of the property without Seller's consent may, at Seller's election, accelerate the debt.

Additional Terms and Special Provisions

Seller Certifications and Buyer Acknowledgment

Seller Certifies: Seller represents that Seller has full authority to extend the financing described herein, that Seller has disclosed any known outstanding liens or encumbrances affecting the property, and that the financing terms and closing costs set forth in this disclosure are true and correct to the best of Seller's knowledge.

Buyer Acknowledges: Buyer acknowledges receipt of this disclosure prior to closing, understands the material loan terms (including interest rate, APR, payment schedule, and any balloon or prepayment penalties), and accepts the obligations of the Promissory Note and Security Instrument to be executed at closing.

Acknowledgment of Receipt

Date of Acknowledgment:

Seller Printed Name:

By:

Date:

Buyer Printed Name:

By:

Date:

What the Seller's Financing CD Is and when it's used

The Seller's Financing CD (Closing Disclosure tailored for seller-financed transactions) documents the final terms, costs, and cash flows when the seller provides all or part of the purchase financing. It combines the conventional closing disclosure elements — loan amount, interest rate, payment schedule, closing costs, prorations, and seller credits — with the seller-borrower payment terms, amortization schedule, and any balloon or deferred-payment provisions. The Seller's Financing CD provides a single, detailed record used by buyer, seller, lender (if any), title agent, and recording authorities to reconcile amounts due at closing and document ongoing payment obligations after transfer.

Step-by-step: prepare and complete the Seller's Financing CD

Follow these sequential steps to assemble an accurate Seller's Financing CD and avoid common closing delays.

01

Gather documents: Collect sales contract, promissory note draft, title commitment, and payoff statements.
02

Populate numbers: Enter purchase price, prorations, closing costs, seller credits, and financing terms.
03

Review parties: Verify legal names, mailing addresses, and tax identification information.
04

Deliver and sign: Provide the disclosure to required parties, allow required waiting periods, then obtain signatures.

Who prepares and who receives the Seller's Financing CD

Final responsibility for delivery and timing often rests with the closing agent or settlement attorney; confirm local practice and contractual obligations ahead of closing.

Seller and seller's counsel review financing clauses and confirm pay-off structure and security interests.
Buyer and buyer's counsel or agent verify payment schedule, escrow requirements, and affordability calculations.
Title company or closing agent assembles figures, prepares the final CD, and coordinates recording and disbursement.

Core elements to include in a professional Seller's Financing CD

A complete Seller's Financing CD presents the transaction economics, seller-lender terms, and closing adjustments in a clear, auditable format for all stakeholders.

Transaction summary

Purchase price, earnest money, seller credits, total due from buyer, and net to seller at closing.

Seller financing terms

Principal, interest rate (fixed/variable), amortization schedule, term, and balloon payments if any.

Payment schedule

Monthly/quarterly payment amount, due date, grace period, late fees, and payoff mechanics.

Escrow and reserves

Whether taxes, insurance, or HOA dues are escrowed and how escrow shortages are handled.

Security and remedies

Deed of trust or mortgage language reference, acceleration clauses, and foreclosure remedies.

Closing adjustments

Prorations for taxes, utilities, recording fees, title fees, and any seller concessions.

Security and compliance items to record

Encryption: TLS 1.2/1.3; AES‑256 at rest

Audit Trail: Timestamp, IP, action log

BAA Required: For HIPAA content only

Access Controls: Role-based and MFA

Retention Policy: Preserve signed record copies

Document Hashing: Tamper-evident checksum

Consequences of errors or late delivery

Closing Delays: Missed delivery deadlines cause rescheduling

Contract Disputes: Ambiguous terms trigger litigation risk

Recording Issues: Incorrect deed data impedes title transfer

Tax Reporting: Incorrect payee/TIN causes IRS penalties

Enforceability: Improper signatures may be challenged

Regulatory Notices: Failure to provide disclosures risks CFPB action

Common pitfalls to avoid when preparing the Seller's Financing CD

Leaving payment schedule vague or omitting interest computation method leads to future disputes and collection challenges.
Failing to match seller or buyer legal names with title or tax records causes delays during recording or tax reporting.
Omitting required pre-closing disclosures or miscalculating three‑day waiting periods can invalidate a consummation or necessitate rescission.
Not listing escrow or reserve handling clearly causes confusion over who pays property taxes, insurance, or HOA dues after closing.

How the Seller's Financing CD moves through the closing workflow

This sequence shows typical routing and verification steps used by settlement agents, title companies, and parties in a seller-financed closing.

Prepare draft CD: Closing agent drafts CD from purchase contract and promissory note terms.
Internal review: Title and lender (if applicable) verify figures and liens.
Deliver to parties: Provide CD to buyer and seller for review and any statutory waiting period.
Execute and record: After signatures, record deed and security instruments; disburse funds per CD.

Technical formats, integrations, and eSubmission options

Use platforms that preserve audit trails, support conditional fields, and maintain tamper-evident signed PDFs for recordkeeping and compliance.

File formats: PDF, DOCX, or fillable PDF
Integrations: Salesforce, NetSuite, Microsoft 365
eSubmission: Email, secure link, API upload

Configure a digital workflow for Seller's Financing CD completion

Set up these fields and options in your eSign platform to automate data capture, validation, and routing.

Field	Configuration
Template detection	Auto-detect names, dates, amounts
Signer order	Configure seller → buyer → lender
Authentication	Email + SMS code or KBA
Notifications	Automatic reminders and completion emails

eSignature vendor pricing and feature comparison relevant to Seller's Financing CD workflows

Platform choice affects cost, bulk sending, audit trails, and HIPAA support. The table compares signNow with commonly used alternatives.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Key timing requirements and typical deadlines for the Seller's Financing CD

Observe pre-closing delivery, revision waiting periods, and recording timing to ensure lawful consummation and funding.

Pre-closing delivery:

Provide final CD to buyer at least three business days before consummation (CFPB Reg Z guidance).

Revised disclosures:

If terms change materially, provide a revised CD and allow the applicable waiting period before closing.

Consummation:

Close only after required disclosures and any waiting periods are satisfied.

Recording and funding:

Record deed and security instrument at or promptly after closing so funds can be disbursed per the CD.

Post-closing delivery:

Provide final signed copies to all parties and retain a certified copy for records.

Frequently asked questions about the Seller's Financing CD

Answers to common questions about validity, electronic signing, notarization, and post-closing changes for seller-financed closings.

Need help? Contact support

Can the CD be signed electronically?
Yes. Under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws, electronic signatures are generally enforceable provided intent, consent, attribution, and record retention standards are met.
Is notarization required for the CD itself?
Typically the CD is not notarized, but related instruments (deed, mortgage or deed of trust, affidavit) often require notarization under state law and must follow those rules for recording.
What happens if figures change after signing?
Material changes may trigger a revised disclosure and a new waiting period. Confirm whether the change is material under applicable consumer protection or lending rules.
Are remote notarizations allowed?
Many states permit Remote Online Notarization (RON) with identity proofing and recording of the session; check state notary commission rules before using RON.
Who retains the final signed CD?
The closing agent or title company typically retains the original signed CD; all parties should receive a copy and the settlement agent should preserve audit trails and signed PDFs.
Can terms be amended after closing?
Post-closing amendments are possible but should be memorialized in writing and signed by parties; amendments may need recording if they affect the security instrument or title.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now