What are Closing Costs?
Filed under Facts on Dec 27,2017 | Tagged in: closing costs, homeowners insurance, prepaid property taxes, taxes
Before you open the door to your new home, you’ll need to get through closing the deal. Closing, also known as settlement, is the process where papers are signed, fees are paid and you (hopefully) walk away with the title to your property. One of the most surprising facets of closing can be the fees and costs you must pay. As explained in this article from the New York Times, there are fees owed to the lender, fees for the home inspection, credit search and title search, as well as fees for transfer taxes, prepaid property taxes and homeowners insurance.
But that’s not all.
You may also need to pay for points. These are discount points that you might pay upfront in return for a lower interest rate. Sometimes, you can negotiate with your lender for lower closing costs, or you can shop around for reduced costs for some items, like your inspection or title insurance costs. The best way to be ready for settlement? Rely on your Vanguard Realty Associates professional. We understand the ins and outs, and will help you arrive at settlement ready to close the deal!