Today we’re talking about Closing Costs for Buyers.
If you’re planning to purchase a house, you need to be prepared to pay between 1% and 3% in closing costs once your house closes. Keep in mind, this is IN ADDITION TO your down payment!
A lot of buyers – especially first time home buyers – do not realize this added expense. It’s a good idea to plan and budget for closing costs when you purchase a home.
In the video above, I walk through a Buyer’s Settlement Statement. You’ll receive one of these once you get closer to closing. It itemizes each closing cost item that you’ll be responsible for.
Keep in mind, this is not a comprehensive list. The important thing to remember is that you will need to bring between 1% and 3% to the closing table in addition to your down payment!
Example Closing Cost Items
Prorations and Adjustments
HOA Working Capital Fee
Impounds – A.K.A. Escrow
A few months of homeowners insurance
A few months of property taxes
Lender’s Title Policy
Loan Closing Fee
Government Recording Charges
State Documentary Transfer
Did you find this info about closing costs for buyers helpful? Check out more real estate tips over on my YouTube Channel!