If you sell your home, how much money you'll get to keep depends entirely on what closing costs dealios you're responsible for, as well as a few other factors unique to your personal situation. The costs can vary greatly when you sell a house based on real estate commissions, closing fees, closing costs, title insurance that could end up costing you 4% to 7% of your sale price. That was quite a mouthful. Closing cost amounts vary by state, but most sellers will see several, if not all, of these common fees:
1. Notary fees
A Fee to verify your identity and to make sure the documents are executed properly.
2. Escrow fees
(Generally calculated a $2.00 per thousand of purchase price plus $250) - This is paid to the Title Company, Escrow Company or attorney for conducting the closing. The Title Company or escrow oversees the closing as an independent party in your home purchase.
3. Loan payoff fee: an administrative fee when you pay off your mortgage or home equity line of credit.
4.Prepayment penalty: A penalty clause in your mortgage, you will have to pay a fee to pay off your loan when you sell your home
5.Commissions
Real estate agents are paid on a commission basis, as much as 6 percent of the sales price of your home. The exact percentage depends on the terms of your listing agreement assuming your real estate agent has agreed to a 5 percent commission, he typically receives 2.5 percent of that, and the buyer's realtor also receives 2.5 percent
6.Mortgage balance payoff
You can't sell your home without satisfying your mortgage at the time of closing. The cost of repaying your home loan, second mortgage and any home equity line of credit is deducted from the sale price of your home.
7.Home warranty
Sometimes a seller will agree to foot the bill for a home warranty that offers a protection plan for the buyer’s first year in the home.
8.Lien release document: If you owed money to a contractor, for court judgments, or for property taxes, a lien may have been placed on your property and you must pay that money before the sale can close.
9. Recording fees: If you owe money on the property, you will need to pay this fee to show your debts have been fully paid
10. Closing cost concession
This fee—typically 3%—is added to the price of the house and then returned to the buyer after closing.
11. Repairs
Most real estate sales involve home inspections, and the inspector might find termites or other problems. You're responsible for fixing these, and these expenses will also come out of your proceeds at closing.
12.Title search fees
Title companies charge a fee for searching public records and give you a title insurance commitment. This document proves you have legal right to sell your home. Search public records and give you a title insurance commitment. This document proves you have a legal right to sell your home.
Do You have any questions about Selling Your Home? Let me know how I can help. 480-980-9229/This email address is being protected from spambots. You need JavaScript enabled to view it.
