Closing Costs You Can Expect To Pay When Purchasing A Home

There are quite a number of expenses that you will incur when purchasing a home that make up your closing costs.

Closing costs typically range anywhere from 3%-6% of the purchase price, depending on the loan you’re getting. The fees vary from one company to the next, so it’s best to actually get a a copy of a Good Faith Estimate from your lender.

Typically, the lender will allow the seller to contribute 3%-6% of the purchase price towards your closing costs. Make sure you’re working with an agent that will negotiate on your behalf to have most of or all of these expenses paid for by the seller, depending on what your lender will allow.

All of the fees may or may not apply to you.

Fees Related To Your Loan/Lender

Loan Origination fee
Loan Discount
Appraisal
Credit Report
Lender’s Inspection Fee
Assumption Fee
Underwriting Fee
Flood Certification
Processing Fee
Application Fee
Points
Tax Service Fee
Mortgage Broker Fee
Interest From The Date You Move In, Until The 1st Day Of The Following Month
Mortgage Insurance Premium
Hazard Insurance Premium
Flood Insurance Premium
Title Fees

Closing Fee
Title Search
Title Exam
Title Insurance
Document Preparation
Notary Fees
Attorney Fees
Title Insurance Binder
Closing Fee
Wire Transfer Fee
Courier Fee
Mortgage Package Handling Fee
Record Fee
Other Endorsements
Administration Fee
Reserves Required By The Lender For Escrow

Hazard Insurance
Mortgage Insurance
City Property Taxes
County Property Taxes
Flood Insurance
HOA Dues
Government Fees

Recording Fees
City/County Stamps
Intangible Tax
Additional Fees

Home Inspection
Termite Inspection
Mold Inspection
Radon Inspection
Septic Inspection
Lead-Based Paint Inspection
Survey
Home Warranty
HOA Transfer Fee
HOA Application/Background Check
Escrow Deposit
Down Payment
Misc Expenses

If you have any bad debts such as a bill in collection, they may require you to pay it off prior to closing. Check with your lender.
One last tip: Whatever dollar amount that you need to bring to closing NEEDS to be in the form of a Certified Check made payable to the Closing Company/Attorney’s office! They will not take cash or a personal check!

Other Articles You Might Like

• Home Buying Process
• Financial Advice When Buying Real Estate
• Checking Your Credit Report
• 35 Reasons You Need To Fire Your Current Buyer’s Agent And Hire ME!
• The Critical Role of the REALTOR® in the Real Estate Transaction

Tagged as: Buyers, buying a home, closing costs