They [buyers] bite off more than they can chew. Later on, the buyers are not able to secure closing and other costs. Know what customary fees are, such as appraisals, inspections, document preparations, mortgage loan fees, commissions, etc.
Austin, TX (PRWEB) January 14, 2012
Homes.org, a leading real estate search website, recently questioned real estate professionals around the country about what affects a buyer's closing costs. Many buyers, especially first-time home buyers aren't clear on how closing costs are factored though professionals stress that they should be. Closing costs, also known as settlement costs, are associated with every mortgage loan and can vary greatly from one contract to the next.
The information gathered concluded that there were several factors that had a significant effect on the total closing costs amounts which are reflected on a buyer's HUD-1 Statement before close.
Top Factors That Affect Closing Costs
Based on feedback from real estate professionals, the points below are the three most commonly cited factors that affect the amount a buy will pay in closing costs.
- The type of home you buy
- The type of loan you get
- Seller contributions
Professionals agree that it's critical for buyers to have a good idea of how much they likely be paying in closing costs before they even begin looking at homes. Closing costs often run in the thousands of dollars and can affect a person's ability to buy a home.
Chantay Bridges, Senior Real Estate Specialist at Clear Choice Realty & Associates has seen it happen before. "They [buyers] bite off more than they can chew. Later on, the buyers are not able to secure closing and other costs. Know what customary fees are, such as appraisals, inspections, document preparations, mortgage loan fees, commissions, etc."
To view more information on the kind of closing costs you can expect, a complete HUD-1 guide or how to save money on home insurance, please visit: Homes.org
Homes.org is a fast growing real estate search portal that offers users much more than MLS listings. Homes.org gives users access to a rich collection of resources, including but not limited to, real estate listings, home owner finance tools and home service tools. Homes.org brings buyers, sellers and renters important information about the current markets and intelligent tools by partnering with real estate professionals from around the country. Homes.org is a subsidiary of Star Nine Ventures, Inc. headquartered in Austin, TX.
About Star Nine Ventures®
Star Nine Ventures® is an Austin-based, marketing-driven venture creation company targeting a wide range of national business-to-consumer online marketplaces. Star Nine's core mission is to build businesses that provide exemplary consumer experiences and unparalleled customer service.