Who Pays Closing Costs? Buyers or Sellers?
Most people think about how challenging it might be to come up with a down payment to purchase the home of their dreams. Unfortunately, that is not the only consideration that needs to be swirling around in their mind when buying a home. They also must consider how they will come up with the associated closing costs required to purchase a home.
Understanding Closing Costs
First-time homebuyers are often shocked to learn that they must come up with extra money, known as closing costs, to receive a mortgage for the home of their dreams. They are taken aback and surprised by this because it is not necessarily something we are taught about when we learn about finances. However, closing costs are a constant part of virtually any real estate transaction.
Closing costs include all fees associated with getting a mortgage. These can be anything from appraisals to title searches. They vary depending on the type of loan and location.
The lender will always charge these fees to make money on a mortgage transaction’s front end. The thing about this is that you cannot get away from closing costs because they are a baked-in cost of the mortgage process.
Do Buyers Pay Closing Costs?
Under normal conditions, buyer vs. seller closing costs is somewhat split between the two. However, the buyer will still cover more of the closing costs in most cases than the seller. However, the seller will be held responsible for paying certain taxes and municipal fees (more on that in a moment). This means the buyer-paid closing costs are generally more considerable than the seller pays.
Do Sellers Pay Closing Costs?
Yes, certain sellers pay toward selling costs as well. They have to cover certain things like the local taxes that must be paid when a property sells. They are also responsible for some municipal fees that may also apply to the transaction. Overall, the seller can anticipate paying less in closing costs than what the buyer puts forward. Still, the seller won’t be entirely off the hook regarding closing costs.
Understanding Seller Concessions
Sellers are not obligated to pay closing costs beyond the municipal fees and local taxes they are expected to pay. That said, some sellers will help pay certain closing costs as a concession to help make the transaction happen. Suppose the seller is particularly concerned about getting the property sold. In that case, they might agree to make additional concessions to the buyer to try to help get the buyer on board with completing the purchase. Again, this is not a guarantee, but some sellers might be willing to do so.
How Thank You Heroes Helps People Buy Homes
Our military and community heroes deserve our appreciation, which is why the Thank You Heroes Home Rebate Program offers our heroes financial rebates when they purchase a home.
The program offers up to a 100% rebate on closing costs for our heroes when they sign on the dotted line to purchase a home. This means they can receive every penny back they paid towards essential parts of the home-buying process, such as an inspection and other important pre-purchase activities.
Heroes who are currently selling their homes can receive discounts as well. Our agents offer up to 20% of their commission fees back those who enroll in the program. It is our simple way of showing that we care and want to do what is right by our heroes.
Those who qualify can receive all of these benefits to help kickstart their journey toward buying or selling a home.
Ready to Buy or Sell? Get Enrolled in the Thank You Heroes Program Today
If you are ready to buy or sell your home, you need to step back and take a moment to enroll yourself in the Thank You Heroes program today. Getting signed up doesn’t take long, and the benefits you’ll receive are enormous.
You deserve to receive the discounts and rebates that this program can offer, meaning you need to sign up today.
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