FAQ - Who Pays the Closing Costs?

Escrow and Title fees are based on the liability amount of the transaction. For a sale transaction the liability amount is the sales price and for refinances the liability amount is most commonly the amount of the loan.

The customary charge to the Buyer is:

• 40% of the premium for standard coverage title insurance and any additional costs relating to the issuance of Extended coverage policy (including a lender's policy)
• Cost of drafting mortgage and note or agreement of sale
• Cost of obtaining Buyer's consents
• Buyer's notary fees
• All recording fees except documents to clear Seller's title
• 50% of escrow fee
• Condominium and Association ownership transfer fees
• FHA or VA discount points and any mortgage fees

The customary charge to the Seller is:

• 60% of the premium for standard coverage title insurance
• Cost of drafting of conveyance documents and bills of sale
• Cost of obtaining Seller's consents
• 50% of Escrow Fee
• Seller's notary fees
• Cost of required staking or survey
• Recording fees to clear Seller's title
• FHA or VA mandatory closing fees
• Conveyance Tax
• FIRPTA (Federal withholding tax)
• HARPTA (State withholding tax)