Closing Costs

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Real Estate

Closing Costs

l Administration fee l Appraisal fee l Appraisal review fee l Closing/escrow/settlement fee l Courier fee l Credit Report l Document preparation l Flood certification fee: Verifies if property is in a federally designated flood zone. l Flood monitoring: Monitors flood zone remapping. l Home inspection

Home warranty l Homeowner’s association transfer fee l Homeowner’s insurance: Usually required to pay the entire first year’s insurance at closing. l Homeowners insurance impounds: Two months’ worth of premiums. l Lender’s Inspection fee: On new property, verifies construction is complete with carpeting and flooring installed. l Loan discount: “Points.” l Loan Origination Fee l Loan tie-in fee: Closing agent’s services dealing with the lender. l Mortgage broker fee l Mortgage insurance impounds l Mortgage insurance l Notary fees l Pest inspection l Pre-paid interest: Accumulated interest between closing day and first payment. l Property tax impounds l Recording fees l Sub-escrow fee: Title insurance company charges this. l Tax service fee: Monitors payment of property tax. l Title insurance: For clear title to the property. l Underwriting fee l Up front mortgage insurance premium l VA funding fee: Paid to the VA for guaranteeing your loan. l Warehousing fee: The cost of a “warehouse” line of credit. l Wire transfer fee: Funds transfer from one account to another. These fees in general fall on the buyer to pay. However it can be negotiated in with the contract to have seller pay part of the buyers closing cost.