What are Closing Costs?

"Closing Costs" are the fees which cover various services involved in the sale of residential real estate. Sellers and buyers almost always negotiate to determine who will pay different portions of these costs.

As indicated below, many of the buyer's costs cover the costs of getting the loan. At ADVISORY MORTGAGE, we are highly experienced in mortgage lending, so we can compile a comprehensive list of costs related to your mortgage in your "Loan Estimate".

Loan Estimate (LE)

Very shortly after you apply for a loan, we'll provide you with the "Loan Estimate" of your costs. This closing cost estimate comes out of our past experience. Please note that while our LEs are very precise, we cannot always estimate costs to the penny. We field questions about these costs every day at ADVISORY MORTGAGE, so please be sure to contact us if we can help answer your questions.

Below you'll find a generic list of closing costs. We will always provide you with a specific list of your closing costs when we provide your Loan Estimate.

Standard Closing Costs

Loan-Related Costs

• Loan Origination Fee
• Points — These are costs you pay up-front to lower your mortgage interest rate (optional)
• Appraisal Costs
• Credit Report
• Up-front Interest Payment
• Escrow Account
• Taxes

Property Taxes

• Insurance
• Recording Fees & Transfer Taxes

Homeowners Insurance

• Private Mortgage Insurance (PMI)
• Title Insurance
• Flood / Earthquake Insurance if applicable

At ADVISORY MORTGAGE, we answer questions about closing costs every day. Give us a call at 8102292820.