Closing Expenses When Buying a Home – Ellicott City, MD Short Sales

Closing costs are usually being disregarded by people when buying a home. Even though closing is an ecstatic moment when the home becomes yours, the closing costs can be incredibly annoying.

When you buy a home or other property, you will go through a phase known as escrow. During escrow, several issues related to the transfer of property are worked out. The last day of escrow is known as the closing day and that is the time you are going to pay the closing costs.

Closing costs appear in many forms. Some require a lot of cash while others are somewhat painless. Here’s a list of common costs:

Escrow Fees

An escrow agent is a third party that works with the seller and buyer to complete the transaction. For this service, the escrow agent will charge a fee. Depending on your area and the agent, you can expect fees from a few hundred dollars or more. Make sure you find out the fees before choosing an escrow agent.

Home and Title Insurance

You must have a home and title insurance. Either you purchased the home using your own funds or it was loaned from the bank, each is mandatory. You should still get both forms of insurance. As each name signifies, they give insurance towards issues relating to your home and with the title transferred to you. Everyone wants to have clear title.

In the home buying process, you are likely to use a variety of services to authenticate the property. These services come with fees and you can anticipate paying for home inspectors, appraisers and the like. Based upon the state you live in, many of these fees may be made into your mortgage. Nevertheless, you need to know precisely what you must pay for on closing day so you can be ready for it.

Ellicott City, MD short sale specialists share some information about closing expenses when buying a home. Ellicott City, MD short sale experts provide a range of real estate services in areas of Virginia, Maryland, and Washington DC.