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who's responsible for mortgage closing costs, the buyer or seller?

i need a conventional loan of about 100K and am trying to see if i should factor in closing costs by chrislnelson98553 from Bakersfield, California. May 28th 2015 Reply


William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,722 contributions

Both parties, the seller and the buyer, will have their own closing costs.. But everything in a real estate transaction is negotiable.. Typically, in a buyers market, it's common to get the seller to contribute to the buyers closing costs, but during a sellers market, if you ask for closing costs to be paid, then your offer might not get any consideration.. Also, your lender can charge you a higher interest rate and with the extra proceeds, he can pay your closing costs as well.. But if you start by contacting a local mortgage broker, he should be able to put together some numbers that will be fairly close to accurate so you know what to expect.. plus he can look at your complete loan profile and address any issues before you actually go out and start looking.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

May 28th 2015
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Derick Condron (rightstartoregon)
#32 ranked lender in Oregon - 598 contributions

You can negotiate with the seller to pay closing cost, but ultimately mortgage closing cost are the buyers responsibility. There are a few fees that a seller will customarily pay with out negotiating.

May 28th 2015
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Phil Dumouchel (PhilDu)
#32 ranked lender in South Carolina - 2,240 contributions

If it is a purchase agreement, check your contract. Otherwise, the costs are yours. A good mortgage lender will factor that in when qualifying you for the loan or recommend that you negotiate for the seller to pay (if it is a purchase). Good luck!

May 28th 2015
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Larry Gray (lgray_312_247)
#595 ranked lender in California - 1,139 contributions

Anything can be negotiable when purchasing a home. Sometimes competition from other buyers who want the same home may make it harder to get concessions from the seller in the way of crediting a certain amount of money towards closing costs. The process starts with the seller wanting to sell their home for x amount of dollars, and maybe even hoping to sell it for more than they are asking! Generally, the closing costs for the buyer in securing a loan, paying transfer taxes to the County and elsewhere, for home inspection, etc. are theirs to cover. Their are certain counties in CA that do require the seller pick up a certain amount of the closing costs...usually a fairly marginal amount. The seller is responsible for covering commissions to the realtors. Besides the seller, it may be possible for the lender tocredit back money to cover closing costs, because you would be accepting a slightly higher rate in exchange for the lender paying some of the closing costs.

May 28th 2015
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,930 contributions

Both sides have closing costs. Generally the buyers pays their own, and the seller pays their own. Many of these items can be negotiated as part of the sales contract. For example, it is pretty typical for the seller to pay part of the buyers closing costs. The seller really isn't paying anything, rather, it is a way for the buyer to roll the closing costs into the loan. Talk with your local mortgage broker to learn more about your options. For loans in WI, MN, or SD, visit www.WI-MortgageBroker.com

Jun 1st 2015
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