What are Closing Costs?
Every home sale involves fixed costs. Buyers and sellers customarily share these costs, as the sales contract specifies.
As you'll see below, many of the buyer's costs are related to the costs of getting the mortgage loan. At Diamond Mortgage, LLC, we are highly experienced in mortgage lending, so we can compile a comprehensive report on mortgage-related closing costs in your "Good Faith Estimate".
Good Faith Estimate (GFE)
Buyers will receive a "Good Faith Estimate" of closing costs at the time the loan application is submitted to the lender. The closing cost estimate is based on the loan officer's past experience. Please note that while our GFEs are very precise, we can't always predict your costs to the penny. We handle questions about closing costs every day at Diamond Mortgage, LLC, so please feel free to contact us if you have questions.
Below you'll find a fairly general list of costs for buying residential real estate. We will always provide a specific list of your closing costs when we deliver your Good Faith Estimate.
Standard Closing CostsLoan-Related Costs
- Appraisal Fee
- Credit Report
- Interest Payment
- Escrow Fees
- Various Taxes
- Costs related to "originating" your loan
- Points — lower your mortgage interest rate (optional)
- Recording Fees & Transfer Taxes
- Flood or Quake Insurance
- Private Mortgage Insurance (PMI)
- Title Insurance