Home Buying Tips Financing Tips 10 Commandments
Loan Types
Closing Costs
Lender Title Insurance
Getting Pre-Approval?
Factors for Loan Approval
Loan Checklist
14 Questions to Ask Home Selling Tips The Realtor's Role Relocating Real Estate Glossary | All closing costs are spelled out in the lender’s Good Faith Estimate that lenders provide. Realtors® can provide a similar statement called a Buyer's Estimated Closing Statement or Seller's Net Sheet. For the Buyer Estimated Closing Costs, the Realtor would need to know the loan amount, interest rate and what the lender fees are for the loan. Your best bet is to get the Good Faith Estimate from your lender.
The Buyer can generally be expected to pay for:
- Title Insurance Premiums
- Escrow Fee
- Document Preparation Fee
- Notary Fees
- Recording Charges for all documents in the Buyer's name
- Interest on new loan from date of funding to 30 days prior to first payment
- All new loan charges - this could include a fee for credit reports, applications, etc.
- Tax Proration - a prorated amount from the date of ownership.
- Homeowner's Association Transfer Fee (if a condo, townhome or planned unit development)
- Home Warranty (most sellers in southern California are asked to pay for this item in a purchase contract)
- Any City Transfer Tax
- Fire Insurance Premium for the 1st year
All of your closing costs will be spelled out in your final closing statement provided by the escrow company. Closing costs typically run 3 to 5% of the purchase price. That is why it is important to meet with a lender in the beginning of your real estate adventure and look at the costs involved so you can make wise decisions. |
