Shopping Cart
Your Cart is Empty
Quantity:
Subtotal
Taxes
Shipping
Total
There was an error with PayPalClick here to try again
CelebrateThank you for your business!You should be receiving an order confirmation from Paypal shortly.Exit Shopping Cart

Real Estate Law Blog

Blog

Purchaser's Closing Costs

Posted on January 30, 2012 at 12:41 PM




Purchasing a home involves more out-of-pocket expense than just the down payment. There are also closing costs to pay for items such as title policies, recording fees, inspections and fees that a lender charges for obtaining a mortgage. The following schedule is an estimate of the closing costs that a buyer can typically expect to pay at closing.


PURCHASER’S REAL ESTATE CLOSING COSTS:
         
Taxes: (if applicable)

Mansion Tax                                                  1% of purchase price when $1,000,000 or over

Mortgage Recording Tax (NYC)
• Sales under $500,000                                  1.8% of entire mortgage
• Sales $500,000 and over                             1.925% of entire mortgage

Note:  Click here to view table of mortgage recording tax amounts by county. Mortgage recording tax does not apply for cooperative apartment purchases.


Mortgage Associated Fees:

Origination Costs – points                             varies, usually 0 - 3% value of loan

Appraisal                                                        $350 (approx)

Underwriting                                                  $450 (approx)

Processing                                                      $450 (approx)

Application                                                     $350 (approx)

Bank Attorney                                                 $850 + up

Real Estate Tax Escrow                                  2-6 months
                                      
Short Term Interest                                         varies, depends on the day of the month in which the closing occurs


Title Insurance Fees

Owner and Lender Title Policies                     5% - 7% of purchase price (approx)

Municipal Searches                                          $450 (approx)

Deed Recording                                                $375-750 (approx based on county)

Real Estate Taxes                                             varies

Note: Purchasers of cooperative apartments usually do not purchase title insurance, and instead pay for a lien search which is approximately $450.  However, see our blog entry, Co-op Buyers Should-Consider Purchasing Title Insurance, which explains particular situations in which it is advisable for purchasers of cooperative apartments to purchase a type of title insurance policy called an Eagle 9 policy.


Homeowner’s Insurance:

Policy                                                                varies depending on lender's required coverage and purchase price


Home Inspection:

Home and Termite Inspection                           $450 (approx)


Legal Fees:

Purchaser's Attorney                                        fee varies, but usually flat-fee basis (consult with your attorney)             


To speak with an experienced real estate attorney about a closing, call us at (516) 314-8433.  To learn more about our real estate closing services visit us at: www.jreardonlaw.com/Real-Estate-Closings.html

Categories: Real Estate, Real Estate Closing Costs

Best Real Estate Attorney Award
Jeanne ReardonReviewsout of 8 reviews