CLOSING COSTS – WHO PAYS FOR WHAT?
The various fees associated with buying or selling a home are called closing costs. Buyers and sellers both pay closing costs but who pays what costs varies from area to area.
Buyers typically pay the following closing costs:
1. Fees charged for obtaining a mortgage
2. Inspection fees
3. Homeowner's insurance (must be prepaid for one year at closing)
4. Doc stamps on the mortgage
5. Title insurance and escrow fees (depending on the location)
6. Attorney's fees (where attorneys are involved in the transaction).
Sellers' closing costs typically include:
1. Loan payoff fees
2. Real estate brokerage fee for service
3. Title insurance
4. Transfer taxes (doc stamps on the deed)
5. Escrow fees,
6. Attorney's fees where applicable