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Debit (Closing Statement):
A "debit" is an amount of money that a person has to pay during a real estate transaction. In accounting terms, it's an entry on a closing statement, which is a document that shows all the money coming in and going out during the sale of a property.
Samantha is buying a house, and at the closing, she has to pay various fees, such as inspection and appraisal fees. On her closing statement, these amounts are listed as debits, showing that Samantha must pay these amounts to complete the transaction.
"Wit & Whimsy with the Dumb Ox: Unlocking Knowledge with Rhyme:"
A debit, a debit, oh what could it be?
An amount to pay, for you and for me!
In real estate land, on closing day,
A debit shows the fees we must pay.
Listed on the statement, oh so clear,
Debits tell us what to pay, with no fear.
Inspection, appraisal, and fees of all kind,
Debits ensure the transaction's designed!