What are the closing costs and who is responsible for them? Who pays the Realtor fees? If I have a Realtor are they paid a percentage of the purchase price and is that on top of the home purchase? If I buy from the seller’s agent do I have to pay that agent or does the seller? I am not sure how much to set aside for these costs in addition to a down payment?
These are questions that often plague the first-time homebuyer well no fear we are here to help!
As the buyer, you do not pay the Realtor’s commission unless you purchase from a For Sale By Owner using a Realtor. Generally speaking, the Seller pays the Realtor’s commission. A Realtor’s commission is based on the sale price of the home at closing. Closing costs also vary and depend on your taxes and lender. It is wise to get pre-approved with a lender who can give you a document that lists all your closing costs and what your monthly mortgage payment would roughly be. If you do this upfront then you will know exactly what price range you qualify for, how much money down you will need for a down payment and closing costs. It also tells you what your mortgage will run.
If you need further assistance, like finding the right mortgage lender for you contact us today!
