How Much Will My Closing Costs Be?

Posted on 18 July, 2019

When most people think about getting a mortgage, they think of expenses such as down payments, mortgage payments, utilities and condo fees. One cost that is frequently overlooked when it comes to purchasing a home is closing costs, which includes the fees that are incurred when the title to the property is transferred to you.


What are some common closing costs?

Legal Fees   Fire Insurance
Appraisal Fees   Home Inspection
Property Tax Adjustment      Real Property Report
Interest Adjustment   Utility Connection Charges
Title Insurance  

 


How much will my closing costs be?

While this can be highly dependent on your specific situation, a general rule of thumb is to ensure you have 1.5 percent of the total purchase price available to cover these costs. While they may not reach that amount, in the end it is better to have saved more than you need as opposed to scrambling to find the extra funds at the eleventh hour.

For, if you purchased a home for $400,000 it would be wise to ensure you have at least $6,000 available to cover your closing costs. 


 You should always be sure to budget ahead of time to avoid any surprises once your mortgage is finalized. Questions about closing costs? Leave us a comment below or contact us today


‹ Back to General

Leave a Comment

Your comment will be submitted for approval before it is posted.

Innovative Mortgage
Jul 25Did you know? If you’re entering into a rent-to-own agreement, the property does not automatically transfer to you… https://t.co/HZZaQb5pQOFollow Innovative Mortgage