Closing Costs for Home Real Estate Transactions
"Closing Costs" are the fees which pay for the various services involved when you sell or buy a house. Buyers and sellers often negotiate to decide how to share these closing costs.
As you'll see below, many of the buyer's costs are related to the costs of originating the mortgage loan. Since Victoria Capital Mortgage Company is highly experienced with mortgages and closings, we can help you understand your closing costs.
Loan Estimates (LEs)
Buyers will receive a "Loan Estimate" of closing costs around the time the loan application is submitted to the lender. The closing costs enumerated in the LE are estimated based on our experience with mortgage loans, but costs often vary a little bit between delivery of the Loan Estimate (LE) and closing. We field questions about these costs every day at Victoria Capital Mortgage Company, so please be sure to contact us if we can help answer your questions.
Below you'll find a fairly generic list of costs for buying residential real estate. We will always provide you with a specific list of your closing costs when we deliver your Loan Estimate.
Standard Closing Costs
Loan-Related CostsProperty Taxes
- Interest Payment
- Escrow Account
- Various Taxes
- Costs associated with "originating" your loan
- Points — lower your interest rate (optional)
- Appraisal Costs
- Credit Report
Homeowners Insurance
- Insurance
- Transfer Taxes and Recording Fees
- Private Mortgage Insurance (PMI)
- Title Insurance
- Flood / Earthquake Insurance
