Over at the RealtyGoddess Blog, she reminds potential buyers not to forget to budget for the closing costs that come along with your home purchase.
Closing costs simply refer to the fees associated with various things associated with the escrow process in a real estate transaction. In the excitement of having an offer accepted for your dream home, you can easily lose track of the fact you are going to need to have some serious cash on hand to pay them. Many people make the mistake of only assuming they need the down payment money, and have to rush around town trying to come up with money for the closing fees.
Some possible closing costs according to Zillow include:
- Appraisal
- Credit Report
- Closing Fee or Escrow Fee
- Title Company Title Search or Exam Fee (varies greatly)
- Survey Fee
- Flood Determination or Life of Loan Coverage
- Courier Fee
- Lender’s Policy Title Insurance
- Owner’s Policy Title Insurance
- Natural Hazards Disclosure Report
- Homeowners’ Insurance
- Buyer’s Attorney Fee
- Lender’s Attorney Fee
- Escrow Deposit for Property Taxes & Mortgage Insurance
- Transfer Taxes (varies widely by state & municipality)
- Recording Fees (varies widely depending on municipality)
- Processing Fee (up to $1,000)
- Underwriting Fee (up to $795)
- Loan Discount Points
- Pre-Paid Interest
- Property Tax
- Home Owners Association Tranfer Fees
And that is why it’s important to have a good Realtor that can help guide you through the process of buying. For more information, you can call Anne at (856) 795-4709 or (856) 428-8000 X-142.