Before getting into the real estate business, it’s critical you understand the costs involved. Understanding what you’re required to spend while making a purchase will help you avoid making mistakes that could cost you millions of dollars. For example, let’s say you have decided to buy my house in Houston, Texas. What will be the costs associated with such a purchase?
The price of my home in Houston, Texas, and the down payment are example of numbers that will be clear right off the bat. But what else? Or the better question is, have you ever heard about the closing costs?
We Buy Fast Houston Houses decided to talk about these costs because most of the time buyers approach us asking why they feel ripped off after closing on a house. Apparently, these costs often remain a mystery until the last minute when they are ready to sign the papers at the closing table. But we will tell you this; If you are a homebuyer in Houston, Texas, you need to reach out to a cash investor. That’s the only way you’ll know how to avoid this significant expense when buying my house.
Buying my home in Houston, Texas, is no small purchase. So before you reach out to a seller or a real estate agent, you have to be sure you have a handle on what’s expected of you. We Buy Fast Houston Houses will be breaking down everything today. Safe to assume by the time you’re done reading, you’ll consider yourself a guru.
What are closing costs?
Other than the down payment that you’re be asked to pay and the mortgage you obtain from the lender, we usually do have several other fees associated with a home purchase in Houston, Texas. These fees are what constitute the closing costs. And, they will definitely come due when you’re ready to close. By the way, the cost of an appraisal, the loan-related fees, and the home inspection fees are just examples of closing costs in Houston, Texas. We have many more.
Who pays the closing costs?
You’d think that the seller will want to pick up the tab just to entice you to close faster but you’re mistaken. The real estate market in Houston, Texas is ruthless to both buyers and sellers. The home seller will take care of the title transfer fees, commission, and many other things. You, on the other hand, will be responsible for the inspection fees, the appraisal fees, and the mortgage fees. But the good news is you can negotiate for a better deal, or even get part of your expenses paid by the seller if they are feeling generous.
How much are the closing costs?
So we’re not going to sugarcoat it in any way. On average, you’ll be expected to pay around 6 percent of your loan amount. Your lender is legally required to provide you with a Loan Estimate within 3 working days, so you’ll have a pretty good idea of how much you’ll get to pay. But if you feel like you need someone to clarify something, you can always talk to We Buy Fast Houston Houses.