When purchasing a home in Miami or anywhere else in South Florida there are numerous fees, costs and expenses which get allocated between the buyer and the seller on the closing statement (or HUD-1 Settlement Statement). These items are called closing costs and are typically allocated according to local custom or are at times negotiated between the buyer and the seller. Below is a list of the typical closing costs paid by both the buyer and the seller in a typical residential real estate transaction in Miami and South Florida. It is advisable for a buyer or a seller to engage the services of an experienced Florida real estate attorney prior to signing the purchase and sale contract to not only review the terms of the contract, but also to make sure that these various closing costs are properly allocated between the buyer and the seller in the contract.
BUYER CLOSING COSTS
Customary buyer closing costs include:
- Down payment
- Title insurance
- Documentary stamps on the note
- Intangible tax on the mortgage
- Loan fees
- Prepaid interest
- Inspection fees
- Appraisal
- Survey fee
- Mortgage insurance
- Hazard insurance
SELLER CLOSING COSTS
Customary seller closing costs include:
- Loan payoff
- Broker’s commission
- Documentary stamps on the deed
- Prorated real property taxes
- Title search fee
- Lien search fee
As a highly experienced Florida real estate law firm, Bales & Bales, P.A. continually guides both buyers and sellers regarding the proper allocation of closing costs and makes sure that what the parties contracted for is properly reflected on the closing statement at the time of closing so that there are no surprises on the day of closing.