- 1. Government Fees:
- Document Recording
- State and Local Mortgage Taxes
- Interest and Escrow Fees:
- Home Owner’s Insurance
- Loan Interest
- Private Mortgage Insurance (in certain instances)
- Real Estate Taxes
- Title Insurance
- 3. Lender Fees:
- Appraisal
- Loan processing
- Underwriting
- 4. Third Party Fees:
- Common Interest Community Documents (if applicable)
- Home Owners Association (if applicable)
- Inspections
- Insurance
- Property Tax Transfer
- Title Search
- Water / Sewer Escrow
- How do you plan for these costs to avoid paying for them out of pocket?
- Generally, if you add up all of the costs listed above it would equal 3% of a home’s purchase price. Thus when an offer is submitted we ask for the Seller to assist in these costs which is called “Seller Concessions.” And the general request is 3%.
