What Closing Costs Does A Seller Have to Pay?
August 10, 2008 by Lisa Heindel
Filed under Blog, For Sellers, Real Estate FAQ, Real Estate Talk
With FHA down payments increasing and no real 100% financing options left, many buyers are requesting some type of closing cost assistance from the sellers. I’ve talked before about keeping your eye on the bottom line, and looking at what your net proceeds will be from the sale, not how the money is distributed (but a gentle reminder never hurts!).
Something that many sellers forget though, is the fact that they will have their own closing costs to pay as well. Since I get this question almost every time I present an offer, I figure that it’s important enough to include some estimates in the FAQ series.
The numbers below are an estimate, not a guarantee that your costs will be the same.
| Settlement/Attorney Fees | $195 |
| Title Research and Certificates | $279 |
| Cancellation/Release of Mortgage | $135 |
| Overnight of Mortgage Payoff | $25 |
| Orleans Parish Transfer Tax | $325 |
| Jefferson/Plaquemines Parish Property Tax Proration | The annual taxes from the beginning of the year to the closing date based on the prior year’s actual tax bill. For example, if you go to Act of Sale on June 30th, you will owe 6 months of property taxes that will be credited to the buyer for payment of the tax bill when it becomes due at the end of the year. |
| Orleans Parish Property Tax Proration | Since Orleans Parish property taxes are paid in advance, the tax proration will be CREDITED to the seller from the buyer. |
Thank you to Carolyn Bailey, closing attorney at Stewart Title for helping with the average costs.
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