Pro-rated Taxes – Since we pay our property taxes at the end of the year, you will owe the Buyer the pro-rated amount of the anticipated annual tax calculated from the first of the year until the day of closing. The buyer will then be responsible for paying the taxes at the end of the year.
Escrow Fees - Closings usually occur at a Title Company and these companies charge a fee to coordinate and file all the closing documentation. These fees range from $150-$250.
Recording Fees - Sellers will need to record a release of lien (if they had a mortgage that is being paid off). The charge for this is about $25.
Survey - These are only needed for Townhouses, and may not be required if there is an existing survey that is approved by the Title Company. The cost of a survey is approximately $400.
Buyer’s Home Warranty – It’s fairly customary for sellers to offer to purchase a Home Warranty for the buyer of their property. This is an “insurance policy” that provides lower-cost repairs for the buyer during the first year of ownership. The cost is between $320 and $350.
Attorney’s Fees – Attorneys get involved in preparing the legal documents required for closing. An average cost for this service is $150.
HOA Resale Certificate – Homeowner’s Associations also have to do paperwork when properties change hands. They will issue a resale certificate at a cost of around $250.
HOA Transfer Fee – The HOA will usually also charge an administrative fee for updating their records to reflect the new owner. This could be anywhere from $50 to $300.
Miscellaneous Charges – There are a myriad of small charges associated with the sale such as tax certificates, messenger fees, state fees, and wiring fees. These are generally no more than $100.
If you would like us to calculate Net Proceeds for you, just contact us and we’ll be happy to help.
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