Thursday, October 22, 2009

The Simplified Explanation of Closing Costs

The home buying process is fraught with a flurry of paperwork associated with the property and the process. By the time closing costs are delivered in writing, "disclosure fatigue" has set in and the mysterious numbers are floating like stars around a cartoon head injury. This informative three minute video lets the cartoon characters deliver the breakdown:



Tip for Home Buyers: Have your real estate agent provide you with an Estimated Closing Costs Statement early in the process. Then you will have time to talk over the individual charges and understand their merit. If you know the basic charges in advance, you may discover a few that are negotiable in your contract with the seller. As a very rough estimate, we tell home buyers to budget aproximately 3% of the sales price for the purpose of costs associated with the transaction (AKA closing costs).

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