Rating 4.8

The Maryland Movers Explain Closing Costs

Many people are taking advantage of the real estate economy in the U.S. and finding great bargains that will make them proud homeowners. However, there are a lot of unexpected costs that have to factored in when you’re purchasing a house. So All My Sons of Maryland with the help of Trulia.com will help you understand some of these closing costs so you ca have a better picture of what it means to buy a house. Of course, once you know what to expect, you can shop with your new budget in mind and when you find that dream home, don’t forget to call the local Maryland movers. We’re experienced in moving customers from homes as well as businesses, so if you find a commercial property, we can help you with that too. Our Maryland moving crew will take care of all the details of the move making it easy and simple for you to enjoy your new home.

According to Trulia.com, closing costs can include points, financing costs, title insurance and taxes. They vary from state to state and they vary by lender too. Another factor is the buyer’s credit. As a general rule though, closing costs are estimated to be anywhere between 3% and 6% of the price of the home you want to buy. The Federal Reserve Board advises future homeowners to shop around for a quality lender that will have low closing costs. That’s why it’s wise to review your lender’s good faith estimates of settlement fees (closing costs). Get two or three of them from different lenders so you can compare the costs.

You can expect to see fees like the loan origination fee, loan application fee, "buydown" points, appraisal fee, survey, title search, title insurance and more. Ask questions about the fees that seem to be unnecessary because the lender might be able to eliminate them. If you prefer one lender over another, try to negotiate some of the fees before signing the loan with them. You can always research online about estimating your closing costs. You can do so with Trulia’s SmartClosing Calculator by entering some variables about your future house’s location and loan information.

When you’re closing, you’ll have to sign a final settlement statement known as the HUD-1. By law you can ask for this statement a day before so you can review it one last time before actually signing and making the deal final.

Check that everything is correct and that all closing costs you expected are there and nothing more. Compare them with the good faith estimate.

For more on how to protect yourself, read RESPA, the Real Estate Settlement Procedures Act.