There are many fees and taxes and
premiums involved with the sale of a home. The lists on
this page reflect what is customary in Los Angeles County,
California. There is, however, an old saying in real
The Buyer generally pays for:
Escrow fee charged by the escrow
company for their services -- 50%.
Loan fees, miscellaneous charges,
points, appraisal charged by the lender. (1 point is
1% of a loan and is added interest on the loan -- charged up
Lender's Title Policy. This
insures the lender that the title to the property is clear
and free of liens or other problems.
Document preparation fee which
may be required by the lender.
Termite repairs - Section 2.
(See the seller's side for more information.)
Notary fees and express delivery
fees, if necessary.
Property taxes and bond or
assessment fees as prorated from the date the sale closes.
Home Owners' fire insurance for
Interest on the new loan from the
date the loan closes to the date the first payment is due.
Recording fees charged by the
County Recorders office.
When a buyer applies for a loan, the lender--not the
broker--should provide a document called a "Good
Faith Estimate" within 3 days. This is
Federal Law! This estimate will itemize all buyers'
costs, including escrow and most of the items on
this list. Be sure to ask for your Good Faith
Estimate of Settlement Costs so there will not be
any surprises when the closing date comes.
The Seller generally pays
Escrow fee charged by the escrow company
for their services -- 50%.
Owners' Title Report. This insures
that the seller has clear title to the property and that there
are no problems or liens or other clouds on the title.
Property Hazard Report required by the
state of California. This document, prepared by companies
who specialize in it, itemizes dozens of potential hazards, from
earthquake faults to nearby airports and how they might affect
Termite Inspection and Section 1
repairs. The termite report has 2 sections: Section 1
lists absolutely necessary repairs. Section 2 items
are recommended repairs.
Hot water heater strapping and smoke
detector installation, if neither of these has been done.
Retrofit requirements by local and/or
county governments. Local inspection fees, if any.
City or county transfer fees.
Home Owners' Warranty on major home
Property taxes and any bond or
assessment fees to the date the sale closes.
Home Owners Association dues, if unpaid.
Any Home Owners Association transfer fees.
Payoff fees for the sellers' loan.
(This is above the amount still owed on the seller's home loan.)
Notary and express delivery fees, if
Recording fees charged by the County