Closing Cost Table

ITEM

DESCRIPTION

BUYER

SELLER

Title Policy

Insurance policy that covers buyer if a defective title is discovered at a later date.

X

ALTA Policy

Protects the lender's interest in the property as security for the buyer’s mortgage.

X

Escrow Fee

Escrow prepares papers, account for all funds & coordinate all parties involved.

Half

Half

Sub-Escrow Fee

Charged by some Title companies to coordinate with outside escrow companies.

Half

Half

Transfer Tax

Charged by county where property is transferred.

X

Lender's Demand

Charged by seller's lender to provide statement of final balance.

X

Termite Inspection

Inspection of property for indication of termite infestation.

X

Reconveyance Fee

The closing and recording of the pay off of the seller's trust deed.

X

Home Warranty

Covers electrical, heating, cooling, plumbing and built-in appliances for one year.

X

Miscellaneous

Messenger/Courier/Federal Express fees, if necessary.

Loan Fees

Sale Fees

Discount Points

Cost to buy down the interest rate on the new mortgage

X

Real Estate

Fee

Commission to pay the Realtors who sold the property.

X

HOA Demand

Charge from association to submit documentation and statement.

X

Credit Report

Fee charged by lender to run a credit report on buyer.

X

Recording Fees

Record grant deed, trust deed and re-conveyance of old loans.

Trust Deed

Grant Deed

Physical Inspection

A licensed contractor inspects the structure, roof, plumbing, electrical system & appliances and generates report.

X

Prepaid Interest

Mortgage interest from closing day to the 1st day of the next month.

X

Private Mortgage Insurance

Lender insurance to protect against loss from default required for any transaction with a down payment less than 20%.

X

Hazard Insurance

Estimated cost of insuring the buyer and lender against loss due to fire, wind storm and natural hazard.  May or may not  include flood insurance.

X

Loan Tie-in

Charged by some escrow companies to oversee signing of loan documents.

X

Loan Processing

Charged by lender to process documentation involved in loan application.

X

Underwriting

Charged by lender to verify every entry in the loan application for accuracy and compliance with loan program guidelines.

X

Appraisal

Professional appraisal to determine market value of property.

X

Tax Service

One-time fee charged by lender to set up reporting of interest to IRS.

X

Loan Origination

Points charged by lender to provide loan at market rate.

X

Property Taxes

Prorated on date of sale between buyer and seller.

Prorated

Prorated