Of course, as we all know, buying a home costs money.

Unfortunately, you cannot just sign the loan documents and POOF! you get the keys to the new home. Loans are getting hard to obtain these days and appraisals are tight as well.

This idea of “borrowing” money looks great and is pretty cheap, but buyers need to understand that they will still have to spend money to buy the new home, regardless.

Closing costs are a given in a Real Estate purchase unless the buyer is paying with cash. Otherwise, closing costs will be part of the home purchase. Closing costs include, but are not limited to:

  • Lender fees/points
  • attorney fees
  • Pro-rated taxes
  • Pro-rate hazard insurance
  • Appraisal fees
  • Inspections
  • Escrows for taxes and insurance
  • Recording fees