Costs to close on your new home purchase can vary widely depending on a number of things. Are you financing your new home purchase or paying cash? Cash purchases have very minimal closing costs.
Keeping Current Matters states that many potential home buyers understand the need to save for a down payment for a mortgage and some are surprised with closing costs. Mortgages do come with closing costs. It helps to know what those costs include.
Don’t get caught off guard!
What are closing costs?
US News and World Report states: “Closing costs encompass a variety of expenses above your property’s purchase price. They include things like lender fees, title insurance, government processing fees, upfront tax payments and home owners insurance.”
This collection of fees and payments made to a variety of entities involved in your transaction, according to Freddie Mac, can vary by location and situation.
- Government recording costs
- Appraisal fees
- Credit report fees
- Lender origination fees
- Title services
- Tax service fees
- Survey fees
- Attorney fees
- Underwriting fees
Closing costs are typically between 2% and 5% of the total purchase price of your home. We have seen costs vary widely from lender to lender as well.
How can I be prepared?
We can help connect you with a lender and together we can provide answers to questions you may have. Contact tuckerbenner.com today! You can email us at email@example.com or call or text 231-730-8781.