Who pays the closing costs?
by 
Real Estate Guy
ANSWERS: 6
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Closing costs are either paid by the home seller or home buyer. It often depends on local custom and what the buyer or seller negotiates.
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EVERY STATE IS DIFFERNT,IN NEW MEXICO..SELLER PAYS FOR COMMISSION,TAXES ON COMMISSION,TITLE POLICY FOR NEW OWNER, BUT IN MOST STATES..SELLER PAYS (CLOSING AGENT)ESCROW COMPANY,TITLE POLICY TO NEW OWNERS SHOWING THE PROPERTY IS FREE AND CLEAR AND TAXES,ETC IS CURRENT. BUYERS WILL PAY FOR HIS OWN TITLE POLICY(IF OBTAINING A NEW LOAN) THIS INSURED THE NEW BANK INVOLVED. THERE IS A FEE FOR CLOSING AGENT(ESCROW COMPANY) AND ANY CUSTOMARY FED EX,NOTARY'S FEES.. WHAT STATE ARE YOU IN?
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In PA the buyer pays closing costs.
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I’m in Indiana, and that’s up to the parties involved. When we purchased our first home, the seller paid all closing costs. When we purchased our second home, we agreed to split the costs with the seller (I forget the actual percentages). As long as it’s in writing and signed by both parties, I’d expect Ringo Starr (to pick a name at random) could pay the closing costs and it would still be perfectly legal.
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The person who agrees to pay them in the sales agreement must pay. Most people use boilerplate documents through lawyers/realtors. Lenders, states and municipalities all have something to say about these costs, but as long as it is agreed to in writing, the deal determines who pays.
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Both buyers and sellers typically pay some of the closing costs. However, the exact amounts paid can very significantly from area to area and depending on what agreements the buyers and sellers come to in the offer-counteroffer process. WISE http://www.fiscal-wise.com.my/ can help you regarding this issue.
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