Who Pays What? A Closer Look at Closing Costs

Who pays closing costs when buying a home? Does the buyer pay everything, or do the costs get divided between buyer and seller? Is it negotiable? These are some of the costs that are "customarily" borne by Buyer and Seller during a residential real estate transaction in San Diego. Take a look...


The BUYER Can Generally Be
Expected To Pay For:
•   "Lender's" title insurance policy premium
•   Escrow fee
•   Document preparation (if applicable)
•   Notary fees
•   Recording charges for all documents in buyer's name
•   Termite inspection (defined by contract)
•   Tax proration (from date of acquisition)
•   All new loan charges (except those required by lender for seller to pay)
•   Interest on new loan from date of funding to 30 days prior to first payment date
•   Assumption or change of records fee for takeover of existing loan
•   Beneficiary statement fee for assumption of existing loan
•   Inspection fees (roofing, property inspection, geological, etc.)
•   Home warranty (defined by contract)
•   City transfer or conveyance tax (defined by contract)
•   Fire insurance premium for the first year
•   Messenger fees (if applicable)

The SELLER Can Generally Be
Expected To Pay For:
•   "Owner'sn title insurance policy premium
•   Escrow fee
•   Real estate commission
•   Document preparation fee for deed
•   Documentary transfer tax (typically $1.10 per $1,000.00 of sale price)
•   City transfer or conveyance tax (defined by contract)
•   Any loan fees required by buyer's lender (FHV,VA)
•   Payoff all loans in seller's name (or existing loan balance if being assumed by buyer)
•   Interest accrued to lender being paid off, statement fees, reconveyance fees and prepayment penalties
•   Termite work (defined by contract)
•   Home warranty (defined by contract)
•   Any judgments, tax liens, etc., against the seller
•   Tax proration (for any taxes unpaid at time of transfer of title)
•   Any unpaid homeowners dues
•   Recording charges to clear all documents of record against seller
•   Any bonds or assessments (defined by contract)
•   Any and all delinquent taxes
•   Notary fees
•   Homeowners transfer fee
•   Messenger fees (if applicable)

Please Note: The above-listed Seller and Buyer closing costs are negotiable in any transaction
and are defined by the Contract between the two parties.

Call or email me with any questions you may have: 858-603-7879 or robertmoore@coldwellbanker.com