It is extremely important for both buyers and sellers to account for closing costs when buying or selling real estate.
They could drastically reduce the gain on your property when it comes to selling or eliminate many home options that would become out of budget when purchasing a property.
What are they?
Closing costs are fees paid at the closing of a real estate transaction. They are paid by both buyers and sellers. Some of the fees are on the buyer and some are on the seller.
The closing of a transaction is marked when title is transferred from the seller to the buyer.
What do they pay for?
Some of these fees include:
-Mortgage insurance (if applicable)
How much are they?
The fees are not split evenly as for example seller’s pay for the broker’s commission. There is not a fixed cost from transaction to transaction, but buyer’s should expect to pay 2-5% of the purchase price and seller’s should expect to pay a bit over 5% of the purchase price since, as I mentioned, they have to pay for the broker’s commission.
Can you get out of them?
Short answer is no, there is no way to eliminate closing costs, but you could reduce them by negotiating for some of the fees to be paid by the other party.
Feel free to contact me anytime with any of your real estate needs!
Call or text me at 707-480-9383 or email me at firstname.lastname@example.org.