Closing Costs Explained -- Sellers

What Are Closing Costs?

 Also called the settlement, the closing is the process of passing ownership of property from seller to buyer. As a responsible seller, you should be familiar with these costs. Although many of the fees may vary by locality, below are some of the most common fees explained.

Who Pays The Attorney Fees For A House Closing?

Generally, in New Jersey, the seller and buyer hire an attorney to advise them during the property transaction. Each party is responsible for paying their own attorney.

Recording Fees and transfer taxes:

This expense is charged by most states for recording the purchase documents and transferring ownership of the property. Your mortgage lender will be able to provide you with a complete breakdown of these costs. Here is a link to the realty transfer tax calculator:

https://www.njrealtor.com/consumers/realty-transfer-fee-calculator/

Who Pays The Real Estate Agents’ Fees?

Agent commissions are paid by sellers. As with all things related to real estate, everything is negotiable and there is no set commission or split. Remember, cheaper isn't always better. Talk to your agent about what's covered in the costs of selling your home and what they will do for you.

Additional Costs

 

There are certain additional costs and variants depending on your specific case that you should consult with our office, some of these are:



  • Certificate of occupancy.

  • Certificate of smoke detector or carbon monoxide.

  • Property taxes.

  • If you are selling a $1 million home, you will need to pay a “mansion tax” which is an additional tax of 1% of the purchase price.



Please note that values shown here are only estimate amounts ​​for purposes of general information regarding the topic on who pays closing costs in NJ. Do not hesitate to contact us for more information.



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