Upfront Costs to Prepare For
Costs to prepare for when buying your next home.
This is Alex Mayer with Counselor Realty. And remember that my fees are free to buyers. So you will not need to worry about paying my commission. But there are some fees that you are going to have.
First, loan down payment. This depends on the type of mortgage program you decide is best for you. Typical down payments can range anywhere from 0%, 20%, and everywhere in between. If you haven’t already, I recommend talking to a lender as soon as possible to see which program is the best fit for you.
Second, earnest money. This is a good faith, up front deposit that you will make upon getting an offer accepted. You will get this amount back once we get to the closing table, but it shows the seller that you are serious about purchasing their home and have some skin in the game.
Third, the appraisal fee. This is another up front cost, which most banks require to verify that there’s adequate collateral on the home you are purchasing. They protect you from overpaying as well.
Now, these costs can vary based on the purchase price, size, location, age, and other variables. However, if you would like, I can get you a pretty close estimate.
This is Alex Mayer with Counselor Realty. Buy and sell strategically.