Home Buying in Lakeway>Question Details

Home buyer, Home Buyer in Austin, TX

What is the closing cost for buying from a builder vs older houses?

Asked by Home buyer, Austin, TX Mon Feb 17, 2014

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Answers

1
Each builder is Unique and has their own programs.
They can vary between 0-3%.

Depending on Number of Available homes a Builder may give
several incentives. However, you have to check if the neighborhood,
loan program, and schools are right for you.

You may have several inspection costs associated with an Older home,
but if your agent can strike a better deal, and get you a larger lot or
better school, it may be well worth it.

Also, new home builders have their Own Loans. Where you many have
No Loan Costs.

They key is whether you are over paying for a new home, no matter
what the Closing Costs are.

Good luck
Perry
0 votes Thank Flag Link Mon Feb 17, 2014
The closing costs for each type of loan would be the same, buying from a builder or reseller. You can ask any seller to pay some or all of your costs. In fact, many builders offer that benefit. However, do remember that nobody works for free. Therefore, those costs are built into the price of your house. Seller contributions are also limited according the loan type you choose. You can also have an interest rate with lower costs, but that rate would be higher than if you paid normal costs. Again, it's built in, but this time to the interest rate. There's nothing wrong with taking the help, either from the seller paying costs, or the lender pricing them into the interest rate. Just be aware of what is happening. There is no free lunch in the mortgage business.

Good luck!
Barbara Coker
NMLS#228545
Licensed Mortgage Loan Officer
100% Home Loans All Over Texas
Flag Mon Feb 17, 2014
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