March 2

One Less Trouble: A Texan’s Guide to Closing Costs

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In the United States, closing costs tend to reach two to five percent of the home sale. While this may not sound like much on the surface, it can add up quickly. For a median-value home sold for around $250,000, the closing costs could range anywhere from $5,000 to $12,000 for the buyer. Unfortunately, these costs often go forgotten until mid-way through the process. But without careful consideration, they have the potential to disrupt the entire home sale process. Furthermore, when they are discussed, it is usually in the context of the buyer. But unbeknownst to many sellers, there are in fact closing costs on the other side of the transaction, as well. While these are much less-discussed, they still pose key financial hurdles to address before completing the sale of your home. For more information on buyer and seller closing costs, keep reading below.

What Are Closing Costs?

Closing costs are the additional expenses incurred in a real estate transaction. These go beyond that of the home sale price. Some states have laws that outline specific requirements for home sales, like insurance or attorney services. There are further options that some buyers and sellers elect to include in the transaction, as well. All of these items pile additional costs to the sale price of the house, that must be paid to complete the transaction. Typically, both buyers and sellers are responsible for their respective fees—though these can be sometimes negotiated.

Who Pays Closing Costs?

Generally speaking, both buyers and sellers pay closing costs in a real estate transaction. With that said, there are some situations in which this can be negotiated. One party may request the other party to cover their own closing costs, as a condition of the sale. So long as both parties agree and sign the dotted line, one party may walk away without closing costs. Other than that, sellers are responsible for their own closing fees. But luckily—there is another option. For sellers located in Texas, there is a great opportunity to sell your home quickly with no fees required. But first—let’s dive into exactly what these costs are made up of.

What’s Included in Closing Costs?

Exact closing costs will vary by transaction. Generally speaking, one of the biggest costs is title and escrow fees. These include things like:
  • Transfer taxes
  • Title insurance
  • Notary fees
These costs are typically split halfway between buyer and seller. The next major cost is for real estate agent commissions. Contrary to some other beliefs, the seller usually pays the commission for both the buyer and the seller’s agents. These exact fees vary but can reach up to six percent or greater. Furthermore, the seller is responsible for loan payoff. If there are any outstanding balances on their own mortgage, these would be satisfied at the time of closing. On the buyer’s end, there are additional fees as part of the closing costs. This includes lender fees and homeowners insurance. Other miscellaneous fees include—for the seller:
  • Home warranty
  • Prorated property taxes
  • Brokerage administrative fees (if applicable)
  • Pest or septic inspection
  • Prorated HOA fees (if required)
  • Attorney fees
For the buyer:
  • Title insurance
  • Inspection fees
  • Earnest money
  • Real estate administrative fees (if applicable)
  • Credit report fee
  • Attorney fees
  • Deed recording fees
All in all, these costs quickly add up and can pose a real barrier to following through with a real estate transaction in a timely manner. But for those sellers in Texas, Lisa Buys Austin Houses is here to help.

Avoiding Closing Costs in Texas

In addition to all of the other factors going into the decision to sell your home, the fear of seller closing costs shouldn’t be. There is an easy way to sell your home quickly, to a cash buyer without the need for added fees. Consider selling your home through our services, Lisa Buys Austin Houses. We want to buy your home, regardless of the condition. This is especially helpful for situations in which the home must be moved quickly. As we do not require any updates, renovations, or inspections, we can schedule a prompt closing that fits your schedule. Furthermore, you do not have to stress over added fees. In addition to the aforementioned closing costs, we also do not charge agent fees or commissions. The three-step process is simple. To start, you complete a simple form online. This provides us with pertinent information on your home so that we can begin assessing the property quickly. Next, we will contact you soon after your request. This brief conversation will allow us to learn more about the property in question, and your goals as a seller. Finally, we submit our best offer. This is an as-is offer—meaning there is no need for costly repairs. You can review the offer, and decide whether or not it’s right for you (with no pressure). The entire process is smooth and seamless. It is carefully tailored to fit your needs as a seller and ensure a fair yet timely transaction without the added costs of the traditional market. For sellers looking to quickly offload their home in the Austin, Texas area, Lisa Buys Austin Houses is worth a shot.

Selling Your Home for Cash in Austin, Texas

With this information, you now have more insight into closing costs and how they affect both the buyer and the seller in a real estate transaction. Without careful consideration in advance, these costs can add undue stress and financial burden to a home sale. But the good news is—you can still sell your home quickly without paying these costs. For sellers in the Austin, Texas area, look no further. We want to buy your home, no matter the condition! Check out Lisa Buys Austin Houses for more information and to get started on a cash offer for your home!

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