How do Closing Costs Work?

Every home sale incurs certain costs. Buyers almost always pay these costs, as specified in the sales contract, however, depending on State law the seller will have to cover a portion of the closing costs. "Closing Costs" are the fees that cover various services involved when you sell or buy residential real estate. These fees can be paid directly or indirectly by crediting the loan.

Many of the costs associated with buying a house are associated with getting the mortgage loan. At Robert Weaver, Security Mortgage Co., we are highly experienced in mortgage lending, so we can compile a comprehensive report on mortgage-related closing costs in your estimate.

Obtaining The Loan Estimate

Buyers will get a Loan Estimate shortly after the loan application is submitted to the lender. The Loan Estimate details information like closing costs, taxes, insurance, estimated interest rate monthly payment and more. Getting an estimate doesn't mean you've been approved, rather it's the first step toward getting your loan.

We field questions about these costs every day at Robert Weaver, Security Mortgage Co., so please feel free to ask if we can help answer your questions.

Below you'll find a fairly general list of closing costs. We will always provide you with a specific list of your closing costs when we deliver your estimate.

Standard Closing Costs

• Up-front Interest Payment
• Escrow Fees
• Loan Origination Fee
• Points — A fee paid to lower your mortgage interest rate (optional)
• Appraisal Fee
• Credit Report

• Recording Fees and Transfer Taxes
• Insurance

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