A Guide to Closing Costs - Who Pays What?

The BUYER can generally be expected to pay for:

• Title Insurance premiums to insure the lender for the life of the loan
• Escrow Loan Tie-In Fee
• Escrow Fee (50%)
• Document preparation (if applicable)
• Notary Fees
• Recording charges for all documents in Buyer’s name
• Termite Correction Work (according to contract)
• Tax proration (from date of acquisition)
• Homeowner’s Transfer fee
• All new loan charges (except those required by Lender for Seller to pay)
• Assumption/Change of Records Fees for takeover of existing loan
• Beneficiary Statement Fee for assumption of existing loan
• Inspection Fees (roofing, property inspection, geological, etc.)
• Home Warranty (according to contract)
• City Transfer/Conveyance Tax (according to contract)
• Fire insurance Premium for first year
• Buyer’s portion of Sub-Escrow Fee

*TITLE TIP: What does Title Insurance Do? Basically, it protects the insured from losses as the result of claims on one’s ownership of land. For instance, a seller may forge a signature of another, creating a loss for a new owner.

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