Closing costs on a Maine real estate property sale, what to expect?
What are they going to be? Well for starters if you are trying to get just as low as possible closing costs, paying cash helps.
No bank overhead for the mortgage process in underwriting a loan makes the out of pocket expenses lighter at the real estate closing.
Owner financing a property in Maine means no bank.
But the cost to prepare the promissory note, the first mortgage on the property legal documents.
Recording those legal instruments at the local county registry of deeds where the property is located are an expense.
But back to that bank financed sale. The associated costs like a lender's title insurance premium charge, the origination fees, document preparation charges and more nickel and dime line items on the HUD-1 settlement statement can add up.
And under the heading of "closing costs" there are pro-ration of property taxes, heating oil that show up with the legal fees.
Along with the property appraisal charges and all the inspectors that eyeball the property and it's title. To make sure everything is kosher. Up to speed and hunky dory.
The Maine bank making the loan on the real estate will give you a good faith estimate of what to expect. Have to by law, because the bank examiners will ding them if they don't.
Truth in lending, the cost of the financing and all the associated charges are spelled out.
The estimates are purposedly aimed higher so no surprises at the real estate closing.
No one wants surprises at the property transfer sit down and sign, slide then record all the documents.
What else influences the real estate closing costs up and down fluctuations?
The professionals providing the services. Every lawyer in Maine does not charge the same fee and each market for real estate operates a little differently. Supply and demand a big part of it. Feast or famine.
If the Maine lawyer, attorneys have been working on the property title before, a continuation of the title insurance policy already in place saves money.
So does just searching the time since the last update of the title examination.
Not reinventing the forty year look back every single time a transfer happens.
Closing costs for a Maine real estate property sale.
No one wants to pay them. The transfer tax the buyer and seller have to belly up to the bar and pay, all of it does not set well.
But like any transfer, there are fees associated. And professionals involved in the sale to make sure everything is in compliance with the law of the land. All those regulations that apply to real estate sales and the buy / sell process.
MOOERS REALTY 69 North Street Houlton ME 04730