A Guide to Closing Costs
I know many of you are confused on closing costs and how that whole situation works. Well, I’m about to answer all your questions. Below, please find a list of what each party usually pays. These are all subject to change depending on the Escrow and what is negotiated in the Purchase Agreement.
Seller Generally Pays:
-Standard CLTA Title Insurance
-Real Estate Commission
-Escrow Fee (50%)
-Notary Fees
-Document Preparation Fee for Deed
-Documentary Transfer Tax ($1.10 per $1,000 of sales price)
-Any City Transfer/Conveyance Tax
-Any Bonds or Assessments
-Any and All Delinquent Taxes
-Any Unpaid Homeowner Dues (if a condo/association)
-Any FHA or VA loan fees required by Buyer’s Lender
-Payoff of All Loans in Seller’s Name
-Interest accrued to Lender being paid off, Statement Fees, Reconveyance Fees and Any Prepayment Penalties.
-Termite Inspection
-Termite Work
-Home Warranty
-Any Judgment, Tax Liens, etc. Against the Seller
-Recording Charges to Clear All Documents of Record Against the Seller
-Tax Proration
-Seller’s Portion of Sub-Escrow Fee
-Homeowner’s Transfer Fee
Buyer Generally Pays:
-Title Insurance Premiums (ATLA Loan Policy)
-Escrow Loan Tie-In Fee
-Escrow Fee (50%)
-Document Preparation (if applicable)
-Notary Fees
-Recording Charges for All Documents in Buyer’s Name
–Termite Inspection (usually covered by Seller)
-Tax Proration
-All New Loan Charges (Except what’s required by Seller to pay)
-Assumption/Change of Records Fees for Takeover of Existing Loan
-Beneficiary Statement Fee for Assumption of Existing Loan
-Inspection Fees of the Property
-Home Warranty
-City Transfer/Conveyance Tax
-Fire Insurance Premium for First Year
-Buyer’s Portion of Sub-Escrow Fees
Most of the funding fees are discussed and taken care of on your Lender’s end. Not every and all fees apply depending on the property.
If you would like more information on the buying or selling process please contact Brittany at 310.956.9385 or visit the website for more information.
Brittany Sells LA
