Adam Preston,Broker
License #01873127 & 01768403
NMLS ID # 345989 & 346148
Grand Avenue Realty & Lending Inc.
Phone (714) 925-2020
Fax (714) 242-1726
Email apreston@grandavenueca.com
Website www.adampreston.com
Website www.grandavenueca.com
Grand Avenue Realty & Lending Inc.
4420 E Miraloma Ave STE L
Anaheim CA 92807

Closing Costs

The question most on people's mind most when buying or selling a home is "How much is it going to cost me?"

The truth is that using a realtor to help you find that dream home doesn't cost a penny! That's right; the buyer does not pay a thing for a realtor. When purchasing a home, you will pay fees and costs but most of them are associated with your loan. Upon making a purchase offer, you will pay an earnest money typically about 1% of the sales price. Both of these checks will be cashed at the time, but you will be given credit back for them both at closing. You would only lose either of these sums if you backed out of the contract after any contractual deanlines have comenced. Beyond that, you will have the title company's escrow fee (approx. $600.00) and a few small charges generally less than $100. The bulk of the money that a buyer pays is to their lender if you are obtaining finacing on the property so it is important to use a lender that you trust. Ask me, I can help you with that, too!

When selling your home, unfortunately you have more costs than when purchasing. It generally costs you approximately 8% of your sales price to sell your home. Here is an approximate breakdown of your costs:

  • Commission: 6% of final sales price - 3% to the listing agent & 3% to the buyer's agent
  • Title Policy: Title policy from title company determined by the price of the home
  • Deed fee
  • Home Warranty: Approximately $350.00 (Could be more if buyer requests certain coverage)
  • Escrow & Title Fee: Approximately 500.00 and other miscillaneous fees depending on which company use decide to use

Here's an example:

  • Sales price $200,000
  • Commission $12,000
  • Title Policy $650.00
  • Micilanous $300
  • Home Warranty $350
  • Escrow Fee $600.00
  • (These are hypothetical figures for the purpose of this example only)
  • Total Costs: $13,900
  • Net Before Current Loan Payoff $186,100

I would love to meet with you to determine your home's current market value and will work up a closing cost analysis at that time with your specific information.