Closings

Closing Costs usually include the following:

1. Attorney's or escrow fees
2. Property Taxes (prorated)
3. Interest (from date of closing to 30 days before first payment)
4. Loan origination fees
5. Recording fees
6. Survey fee
7. First premium of mortgage insurance if applicable
8. Title insurance
9. Loan discount points
10. First payment to escrow account for taxes and insurance
11. Paid receipt for homeowners insurance
12. Documentation preparation fees

Who Pays for What?

One very common question of real estate transactions is, "Who pays for what on a real estate transaction?" Below is a list to give you an idea of some of the common expectations, but this list will vary from region to region. Also, a buyer's or seller's market could possibly change the common fee responsibility.

The SELLER could generally be expected to pay for the following:

1. Real Estate Commission
2. Document preparation fee for Deed
3. Documentary transfer tax
4. Any city Transfer/Conveyance Tax (according to contract)
5. Any loan fees required by buyer's lender
6. Payoff of all loans in seller's name (or existing loan balance if being assumed by buyer)
7. Interest accrued to lender being paid off, Statement Fees, reconveyance Fees and any Prepayment Penalties
8. Termite Inspection (according to contract)
9. Termite Work (according to contract)
10. Home Warranty (according to contract)
11. Any judgments, tax liens, etc., against the seller
12. Tax proration (for any taxes unpaid at time of transfer of title)
13. Any unpaid Homeowner's dues
14. Title Insurance Premium
15. Recording charges to clear all documents of record against seller
16. Any bonds or assessments (according to contract)
17. Any and all delinquent taxes
18. Notary Fees
19. Escrow Fee

The BUYER could generally be expected to pay for the following:

1. Title Insurance Premium
2. Escrow Fee
3. Notary Fee
4. Document preparation (if applicable)
5. Recording charges for all documents in buyer's name
6. Termite Inspection (according to contract)
7. Tax proration (from date of acquisition)
8. Homeowner's transfer fee
9. All new loan charges (except those require by the lender for seller to pay)
10. Interest on new loan from date of funding to 30 days prior to first payment date
11. Assumption/Change of Records fees for takeover of existing loan
12. Beneficiary Statement Fee for assumption of existing loan
13. Inspection Fees (roofing, property inspection, geological, etc.)
14. Home warranty (according to contract)
15. City transfer/Conveyance Tax (according to contract)
16. Fire insurance Premium for first year

What You Will Get at Closing

1. Settlement statement - itemizes services provided and fees charged. This is filled out by the closing attorney and must be given to you at or before closing
2. Truth in lending statement
3. Mortgage note
4. Binding sales contract. This is prepared by the seller and your attorney should review it
5. Keys to your new home