How do Closing Costs Work?
"Closing Costs" are the fees that pay for the various services involved when you sell or buy residential real estate. Sellers and buyers often negotiate the payment of these closing costs.
As the list below indicates, many of the costs result from getting your mortgage. Since Primemax Mortgage Group, NMLS#195523 has extensive experience with closings and mortgages, we often explain the details of closing costs.
Loan Estimates (LEs)
Very soon after you submit your application, we will provide you with a "Loan Estimate" of your costs. The closing costs specified in the Loan Estimate are estimated based on Primemax Mortgage Group, NMLS#195523's experience with mortgage loans, but costs often change a little bit between the LE and closing. We go over Loan Estimates with buyers almost every day, so we will be happy to answer your questions about closing costs.
We've provided a general list of closing costs below, but we'll provide you a specific list of closing costs, with amounts, very soon after you have completed your loan application. At Primemax Mortgage Group, NMLS#195523, we don't believe in surprises, so if your costs change, we will be sure to let you know immediately.
Standard Closing Costs
Loan-Related Costs
- Escrow Account
- Various Taxes
- Costs related to "originating" your loan
- Points — A fee paid to lower your interest rate (optional)
- Appraisal Fee
- Getting Your Credit Report
- Up-front Interest Payment
Property Taxes
- Recording Fees and Transfer Taxes
- Insurance
Homeowners Insurance
- Title Insurance
- Flood or Quake Insurance if applicable
- Private Mortgage Insurance (PMI)
At Primemax Mortgage Group, NMLS#195523, we answer questions about closing costs every day. Give us a call: 2565439211.