CLOSING COSTS
Hi, its the Canadian again with questions.
I know how to calculate the closing costs in Canada but would like to learn how it’s done in the US, any help would be much appreciated.
What are all the typical closing costs on a SFH?, lawyers fee, property transfer tax, appraisal fee anything else?,
Do the closing costs differ from a sfh to a mulit-family ?
I want to get into the US market but want to do all my research first. This is an awesome site and some really good write ups
Thank for any help,
Some of the costs include:
Lenders/homeowner title fees
Appraisal
Processing
Principal/Interest for partial month
Taxes
Property taxes
Transfer taxes
Recording fees
Notary fees
Lawyer fees (if applicable - in a state that requires lawyers)
Underwriting fees
Points
Impounds (if applicable)
Tks for quick reply, is there anyway I can find out more details about each of these. So typically on a $50000 purchase in MI, TX or NY would work out to ?
Tks
I work in the Title industry, each state varies on closing cost it is regulated state to state, some states are very strict and others are more flexible.
If you have specific states you are looking at I can give you the closing cost for that state. It also depends on the purchase price so I will need an estimate on that.
Good Luck
Tammy
Yeah, we estimate 3 - 4% excluding Realtor and downpayment in our model. Even though recording fees have doubled, the formula still works for us.
Jim
I am in MI and deal alot with Sub Prime buyers. We almost always end up rolling closing costs into our deals when we sell and the closing costs are always 6%. Why 6%? Because that is usually the allowable amount by the mortgage companies.
Whey we purchase (with a mortgage) costs are more like 3-4%. If you are paying cash expect to pay MUCH LESS. Below are some numbers from a recent cash purchase, which was a 70k property:
(Sellers Fees)
settlement/closing fee $400
Title Policy $535
County Tax Stamps $77
State Tax Stamps $525
(Buyers Fee)
Settlement/closing fee $300
Courier fee $60
Recording fee $25
I estimate 3-4% when purchasing a property and 1-2% when selling.
Quote:
On 2007-03-29 21:47, tguerrino wrote:
I work in the Title industry, each state varies on closing cost it is regulated state to state, some states are very strict and others are more flexible.
If you have specific states you are looking at I can give you the closing cost for that state. It also depends on the purchase price so I will need an estimate on that.
Good Luck
Tammy
Thank you Tammy and everyone for your replies
The purchase price of each ppty would be approx $50k, in the state of New York
Tks
Hi Ryan
Do you manage these two properties yourself ?, i like to buy in the area but need to find a good/reliable PM
Tks
If you go to my website you can use the calculator www.greystreettitle.com click on calculator is will give you the option for NJ and NY on there and will gie you all closing cost you can occur.
Tammy
I needed more info or I would have posted you the exact amount. Mortgage amount and county, if you have any problems dont hesitate to contact me