How do you get a closing cost

Good question. I'm guessing you mean help paying closing costs as a buyer. Here are the common ways people do it: 1. Ask the seller to pay some of them. This is called a seller concession or seller credit. You write it into your offer, like "seller to pay $X toward buyer's closing costs." Sellers are more open to it when a home has been sitting, needs work, or when your offer price leaves room for it. Loan programs cap how much the seller can contribute, so check with your lender. 2. Down payment and closing cost assistance programs. Many states, counties, and cities have them, especially for first-time buyers. Your lender or your state housing finance agency can tell you what's available in Alabama. 3. Lender credits. Some lenders will cover part of your closing costs in exchange for a slightly higher interest rate. It costs more over time, but it lowers what you bring to the table. 4. Gift funds from family, if your loan program allows them. Your lender will need paperwork. A good buyer's agent knows how to ask for a seller credit in a way that still gets your offer accepted. That's a big part of the job. Start by talking to a lender so you know your numbers, then let your agent build the offer around them. I'm licensed in Virginia, so lean on a local Alabama agent and lender for the programs in your area.

Clarence, the fastest way to get a real number is to apply with a lender, because by federal rule they must send you a Loan Estimate within three business days of your application. It itemizes every fee, and it is the one document that tells you what your closing costs will actually be rather than a rule of thumb. Here is how I would use it. Get Loan Estimates from at least two or three lenders on the same day so the rates are comparable, then put them side by side. The lender fees and the interest rate are the parts you can shop. Title and escrow fees, prepaid interest, property tax and insurance reserves are mostly set by the property and the closing date. Then, about three business days before closing, you will receive a Closing Disclosure, and you should compare it line by line to your Loan Estimate and ask about anything that moved. As a rough guide, buyers often see something in the low single digits as a percentage of the purchase price, but it varies a lot by state, loan type and whether you buy points. You can also ask the seller for a credit toward closing costs in your offer, which is often easier to negotiate than a lower price. I am a real estate professional, not a lender or an attorney, so treat the Loan Estimate as the final word. If you tell me what area you are buying in, I can point you to what is typical there. My name is Zoltan Peresztegi, and I am happy to help if you are looking in the Palos Verdes, South Bay or Los Angeles area. Zoltan

Clarence, if you mean finding out what your closing costs will be, start with a mortgage lender and request a Loan Estimate once you've applied. Have them walk you through the closing costs and the total cash you'll need, including your down payment. Those are different numbers. If you mean getting help paying closing costs, ask about assistance programs you may qualify for and whether you could request a seller contribution in your offer. A lender credit may also reduce what you pay upfront, but it can come with a higher interest rate. Compare the payment and total cost before choosing that option. Austin Moore Broker/Owner, Austin Moore & Company Real Estate Realtor in Longview, Texas

Closing costs are the upfront fees paid at loan closing typically a couple % of your purchase price. Here is how you handle or cover them: Review Your Loan Estimate: Your lender must send this within 3 days of application, itemizing every single cost. Ask for Seller Concessions: Negotiate for the seller to pay a portion of your closing costs. Use Lender Credits: Accept a slightly higher interest rate in exchange for the lender paying your fees. Apply for Assistance: Use state or local down payment assistance programs offering grants for closing costs. Shop Services: You can shop around for title and escrow providers to lower costs.

Talk to the title or law firm who is closing your deal. If you're not yet under contract on a home, seek a reputable agent who can quickly and very accurately give that to you. Another option would be a lender if financing is involved. Lenders' fees tend to be the lions' share of costs on a settlement statement. Generally speaking your closing costs are about 3% of the purchase price +/- if there's financing or new construction versus vacant land. With cash deals it could be far less. In Florida, buyers tend to select and pay title. Sellers also pay doc stamps in FL which are 70 cents per 100 on the purchase price (this is a government tax on the sale). Sellers also provide buyers with a credit for Jan through the date of closing so that the buyers pay the full tax bill at the end of the tax cycle since they're in arrears in Florida anyway - each state may vary with these costs and customary negotiations. I hope that helps!

Hi Clarence! If you're asking how to find out how much your closing costs will be when purchasing a home, the first step is to contact a mortgage lender and request a Loan Estimate. Closing costs typically range from 2% to 5% of the purchase price and may include lender fees, title insurance, appraisal fees, and prepaid taxes and insurance. You can also ask the seller to contribute toward your closing costs as part of your purchase offer. A knowledgeable Realtor and lender can help you explore your options and estimate how much you'll need at closing. Brenda Ashby | REALTOR® | JohnHart Real Estate | DRE License # 01700249

Clarence, I'm reading your question two ways, so I'll answer both. If you want to know what your closing costs will be, apply with a lender and they have to send you a Loan Estimate within three business days. It lists every fee line by line. Get one from a second lender too and compare them, because lender fees can differ more than you'd think. If you mean getting help paying them, your offer can ask the seller to cover part of your costs, and some lenders will give you a credit toward closing if you accept a slightly higher rate. If this is your first home, ask a local lender whether you qualify for any down payment or closing cost assistance in Alabama. Just so you know, I'm licensed in California, so it's worth running the Adamsville details by an agent who works in your area. Alla Novytska, Realtor®, JohnHart Real Estate, DRE #02254775

I am assuming you are referring to how you determine closing costs? There are calculators online and this is formally supplied on a HUD statement prior to closing. Keith Jean-Pierre Managing Principal The Dapper Agents Real Estate Operations in ALL 50 States