Home Buying in 20152>Question Details

crimson8888, Home Buyer in 20152

are closing costs typically 5% of home price..or can it be as little as 2%

Asked by crimson8888, 20152 Mon Jan 27, 2014

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Closing costs can be paid by the Seller, usually between 3 and 4%. Some fees are fixed so the % can be higher for smaller loans. Depending on the county and your Purchase Contract, the Seller usually pays the sales tax or 'excise tax' so be sure what is agreed going into the closing.
0 votes Thank Flag Link Tue Jan 28, 2014
If you're a seller - request a draft HUD be prepared by a title company.
If you're a buyer - request a GFE (Good Faith Estimate) be prepared by your lender.

Lisa Moroniak | REALTOR® | Service360°
SFR® - Short Sale & Foreclosure Certified
Keller Williams Realty
Phone: 703-635-0388
http://www.LisaMoroniak.com
Licensed in VA
0 votes Thank Flag Link Tue Jan 28, 2014
Closing costs vary. For the Seller there is a grantors tax .25% of the sale, real estate commissions and taxes and insurance through the closing date. For the Buyer it could be about 3% of the sales price depending on the date during the month when the property settles.

We are always available to talk about real estate! Please don't hesitate to contact us.

Ruth Neff, ASD, LDPD
Avery-Hess Realtors
Cell: 703-203-5937
Email: ruth@neff-team.com
Website: http://www.neff-team.com
Licensed in VA
0 votes Thank Flag Link Tue Jan 28, 2014
Closing costs for a buyer are about 3% of the sales price. Closing costs for sellers will vary greatly on the value of the home because you will pay the pro-rated portion of taxes to the buyer at closing so they can pay the next tax bill. It will also depend heavily on the taxes levied in your municipality. Typically, seller closing closing costs are a few thousand dollars - maybe .75% is a good conservative rule of thumb. That does not include commissions which are an expense of selling and not a closing cost.
0 votes Thank Flag Link Tue Jan 28, 2014
For the Northern Virginia area a good guesstimate for home seller is about 6.5% and for buyers plan on 2-3% of the sales price. This is for standard sales where commissions are 6%. Of course there are different factors that can affect this, buying down interest point, reduced commission....
0 votes Thank Flag Link Tue Jan 28, 2014
Just depends if you are on the selling or buying side. The buyer, in Virginia, pays the majority of closing costs. The seller covers commissions and the grantor tax, plus some closing feels for deed prep and other administrative items.
0 votes Thank Flag Link Tue Jan 28, 2014
The answer depends on whether you're on the sell-side or buy-side.

For a seller, closing costs include commissions and possibly transfer taxes, which can take it to as much as 10% overall.

For a buyer, closing costs are usually 1% for an entry-level home around $600K with decent financing terms and a bit more with transfer taxes. If you're paying down points, you can pay up to 4-5% in closing costs. For cash buyers, it's typically around 0.25-0.5% or as low as $20 in some cases.

If the home is a condo, then add about 0.5-1% for condo transfer fees and pre-paid expenses to both sides.
Web Reference: http://www.archershomes.com
0 votes Thank Flag Link Tue Jan 28, 2014
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