What are the usual closing expenses?

Contributing Columnist

Question: What are the expenses involved in closing on the property?

Answer: Your Realtor or title professional will review these charges with you prior to closing and the costs will vary based on the sales price and whether you will be securing a mortgage. The customary expenses include: recording fees for the deed and mortgage and survey fees for detached or single family homes. If a current survey exists, the buyer will not have the cost of a new survey. Legal fees and costs for mailing closing papers are also typical expenses.

If financing is obtained for the purchase of the home, additional costs for title insurance, intangible tax on the amount of the mortgage (20 cents for each $100 borrowed), and documentary stamp taxes (35 cents on each $100 borrowed) will also be due at closing.

Some expenses can be negotiated in terms of whether the buyer or the seller is responsible for payment.  These include title search fees, municipal lien fees, and owner’s title insurance. Your lawyer can provide the best advice on these and all closing costs. Your Realtor can do the negotiating with the seller and the seller’s agent.

Sheldon Paley, a resident of Longboat Key for 20 years and a realtor for 13 years, is affiliated with Premier Sotheby’s International Realty. Prior to moving to Longboat Key, Paley attended Ohio State University; U of Pennsylvania School of Dentistry and Harvard Medical School for 18 months for a degree in Implantation.

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