Closing Costs
| Appraisal Lender requests local, approved appraiser to give opinion of property value. Usually paid at time of loan application. |
$400 - $600 |
| Credit Reports Lender orders your credit history from credit reporting agency. Usually paid at time of loan application. |
$55 - $75 |
|
Loan Origination Fee Lender's fee for processing loan. Paid at closing. |
usually 1% of loan amount |
| Discount Point s (Optional) One-time charge used to discount the interest rate on a loan. Paid at closing. |
1% of loanamount = 1 point |
| Attorney Fee Fee charged by closing attorney for handling the closing, title search, arranging for title insurance, arranging for survey, etc. |
$675 (cash sale) to $975 |
| Title Insurance A one-time premium paid at closing to protect buyer against title defects not found in public records. Required by lender. Covered amount usually equals sales price. |
$2.45 per $1000 of coverage |
| Surveys Identifies lot lines and exact location of house and any other improvements. Required by lender. Closing attorney schedules. Paid at closing. |
$500 - $750 |
| Recording Fees charged at County Register of Deeds Office to record deed, deed of trust and other important documents. Paid at closing. |
$50 - $100 |
| Property Taxes County/City taxes on real estate are pro-rated between buyer and seller. Seller is responsible for his/her personal property taxes for the year. Paid at closing. |
Tax Value x Tax Rate = Property Taxes |
| Interim Interest Interest collected on the loan from date of closing to the end of month. Paid at closing. |
Will not exceed total monthly payment. |
| Hazard Insurance Homeowners Insurance Policy to cover at least the mortgage amount. First year's premium paid on or before of coverage and closing. |
Varies depending on amount of property |
| Escrow Deposits Funds placed in escrow accounts by lender to pay future. Paid at closing. Amounts determined by lender. |
Minimum 2 taxes/insurance in the months hazard and mortgage insurance. Taxes are determined by time of year. |
| Mortgage Insurance Required on certain loans - usually high loan to value situations. Can be paid in full at closing or amortized with loan. |
Varies depending on loan type and amount. |
| Home Inspection Fee charged by inspector to do home inspection. Paid for at time of inspection. |
$400 - $900 (depends on size and age of house) |
| Well/Septic Inspection Fees charged by county health department or private companies to inspect wells or septic tanks. Paid at time of inspection. |
$145 (well/water only) - $500 |
| Termite Inspection Fees charged by local pest inspectors. Paid at closing |
$85 - $95 |
| Radon Testing Paid at time of inspection. |
$150 |