My purchase price was only $400,000 and I need to bring in how much over my down payment amount?
Closing Costs
The cost of purchasing a property extends beyond the purchase price. There are several “HIDDEN” costs that you, as the buyer, will need to bring to the table. Your Property Connection (YPC) always works with your lender and title company to ensure you are fully educated on what it will really cost you to close on a home.
The following are the costs that you’re responsible for:
- Title & escrow fees (most of these are your “TERMS” on the contract which can be negotiated)
- Lender’s fees (these are the BUYER fees associated with the loan)
- Inspection fees
- Other
Let us talk details.
RECURRING CLOSING COSTS
Recurring costs are fees that will happen on a recurring basis, either monthly or annually.
The following are recurring closing costs associated with buying a home these will be paid upon close of escrow
- Fire insurance premium
- Flood Insurance (if required)
- Homeowners Association Dues (HOA)
- Private Mortgage Insurance Premiums (PMI) is necessary only when you are putting less than 20% down
- Mortgage Interest
- Real Property Taxes (you will pay the portion of taxes from the time you close through the end of the end of the year)
- Home warranty (negotiable)
NON-RECURRING CLOSING COSTS
Non-recurring costs are 1 time fees, these are due by the close of escrow
There are non-recurring costs associated with buying a home these will be paid upon close of escrow except for inspections & appraisal are paid prior to close.
TITLE & ESCROW COSTS
Title insurance premium
Recording fees
Endorsements to title policies
Sub-escrow fees (if applicable)
Re-conveyance fees
HOA document transfer
Transfer tax (City & County)
Escrow fees
Loan tie-in fees
Notary fees
Courier/Delivery fees
Document prep fees
Electronic document processing
Survey fees (if applicable)
LENDER’S COSTS
Appraisal fee
Credit Report
Lender’s inspection fee
Loan payoff fee (if applicable)
Flood Certificate (if applicable)
Loan origination fee
Loan processing
Document processing fee
Tax service fee
Disclosure reports
INSPECTIONS (these are paid prior to close of escrow)
Pest inspections
Home inspection
Roof inspection
HVAC inspection
Other necessary inspections
Repairs that the seller did not agree to do if required by the lender.
What is actually due at the time of closing?
- Your down payment
- Approximately 5% above and beyond the down payment to pay for all the recurring & non- recurring closing costs.
