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Buyer closing costs
The fees
vary according to several factors, including the type of loan they
applied for and the terms of the purchase agreement. Some typical buyer
closing costs include:
-
The down
payment
-
Loan fees
(points, application fee, credit report)
-
Prepaid
interest
-
Inspection
fees
-
Appraisal
-
Mortgage
insurance
-
Hazard
insurance
-
Title
insurance
-
Documentary stamps on the note
Seller closing costs
The seller's
most important closing cost is satisfying the remaining balance of
their loan.
Then, along with any other fees, the original loan
will be paid for at the closing before the seller receives any
proceeds from the sale. Other seller closing costs can include:
-
Broker's
commission
-
Transfer
taxes
-
Documentary Stamps on the Deed
-
Title
insurance
-
Property
taxes (prorated)
Negotiating Closing Costs
Buyers and sellers
include closing costs in their negotiations. It is important to
include all the terms of closing costs in the purchase
agreement.
Prorations
Property taxes
and some other cots are often prorated (or distributed) between
buyers and sellers at the closing. |
