How do Closing Costs Work?

There are certain standard costs related to closing the sale of a home. Sellers and buyers customarily share these costs, as the sales contract specifies.

Many of the closing costs associated with buying residential real estate are associated with getting the mortgage loan. At Tenby J. Dahman The Dahman Team , we have extensive experience in mortgage lending, so we can compile a comprehensive report on closing costs related to your mortgage in your "Loan Estimate".

Loan Estimate (LE)

Soon after you apply for a loan, we'll give you the "Loan Estimate" of your costs. The closing costs spelled out in the Loan Estimate are estimated based on our experience with mortgage loans, but costs usually vary a little bit between the Loan Estimate (LE) and closing. We review LEs with buyers every day, so we'd be glad to answer any questions you have about closing costs.

Below is a fairly generic list of closing costs. We will always provide a specific list of your closing costs when we provide your Loan Estimate.

Standard Closing Costs
Loan-Related Costs

Escrow Fees
Taxes
Loan-related costs
Points — A fee paid to lower your mortgage interest rate (optional)
Appraisal Fee
Pulling Your Credit Report
Interest Payment

Property Taxes

Recording Fees & Transfer Taxes
Insurance

Homeowners Insurance

Title Insurance
Flood / Quake Insurance
Private Mortgage Insurance (PMI)

How do Closing Costs Work?

Loan Estimate (LE)

Standard Closing Costs

At Tenby J. Dahman The Dahman Team , we answer questions about closing costs every day. Give us a call at 3038627760.