How do Closing Costs Work?

All residential real estate sales involves fixed costs. Buyers and sellers customarily split these costs, as specified in the real estate sales contract.

As indicated below, many of the costs result from getting your mortgage loan. At Town & Country Home Loans, Inc., we are highly experienced in mortgage lending, so we can provide you with a comprehensive list of closing costs related to your mortgage in your "Loan Estimate".

The Loan Estimate (LE)

Soon after you apply for a loan, we will give you a "Loan Estimate" of your closing costs. The closing costs specified in the LE are estimated based on our experience with mortgage loans, but costs often vary a little bit between delivery of the Loan Estimate (LE) and closing. We will be glad to review the "Loan Estimate," answering your questions and highlighting costs that sometimes change slightly at closing.

Below is a fairly generic list of closing costs. We will provide a specific list of your closing costs when we provide your Loan Estimate.

Standard Closing Costs

Loan-Related Costs

• Taxes
• Loan-related costs
• Points — A fee paid to lower your mortgage interest rate (optional)
• Appraisal Costs
• Credit Report
• Interest Payment
• Escrow Fees

Property Taxes

• Insurance
• Transfer Taxes and Recording Fees

Homeowners Insurance

• Title Insurance
• Flood / Quake Insurance
• Private Mortgage Insurance (PMI)

Town & Country Home Loans, Inc. can help you understand closing costs. Give us a call: (760)789-9995.