Closing Costs Assocation with your Downtown San Diego Home Purchase

July 6th, 2015

“Closing costs are often the last thing a person thinks of when buying a Downtown San Diego Condo. While closing is the joyous moment the downtown condo becomes yours, the costs can be surprisingly aggravating.

When you purchase a home, condo or other property, you will go through a period known as escrow. During escrow, various issues related to the property transfer are worked out. The last day of escrow is known as the closing day and you are going to be paying closing costs.

Here’s a list of typical costs:

Escrow Fees: An escrow agent is essentially a third party that works with the seller and buyer to finalize the transaction. For this assistance, the escrow agent will charge a fee. Depending on your area and the agent, you can expect fees from a few hundred dollars to around a thousand or so. Make sure you find out the fees before picking an escrow agent.

Home Loan: Obtaining a home loan in the current market is a highly subjective event. “Points” can be a major cost associated with home loans. A point usually equates to 1% of the loan. On a loan of $300,000, one point would equal $3,000. If you have excellent credit, you can shop for a loan that doesn’t require you to pay points.

Home and Title Insurance: Insurance for your home and title are a must. If you are borrowing money to purchase the home, each is mandatory. If you are using your own funds, you should still get both forms of insurance. As each name implies, they provide insurance against issues involving your home and problems with the title transferred to you. You want to have clear title.

PMI: Private Mortgage Insurance, “PMI”, is mandatory if your down payment is less than 20% of the purchase price. You can expect to pay a few hundred dollars a year in PMI.

Inspections, Appraisals and Miscellaneous Fees: In the home purchase process, you are going to use a variety of services to validate the property is your dream home. These services come with fees and you can expect to pay for home inspectors, appraisers and the like.

Closing escrow on your Downtown San Diego Condo should be one of the happier days in your life, particularly if it is for your first home. Make sure you know the costs associated with it so you don’t have to spend the day running around borrowing money.”

The Latest Headlines

Selecting a Contractor for your Downtown San Diego Condo

You are finally in your dream Downtown San Diego Condo. You have the perfect layout of the house, you have everything you need in the right place, and you even have a......

read more

Your Guide to the Mortgage Pre-Approval Process 

Whether as a first-time buyer or as an investment property, purchasing a condominium is a great way to enter the housing market. Its flexibility, convenient amenities, low maintenance, and affordability are just......

read more

Downtown San Diego August 2014 Events

North PB Sip N Stroll Aug. 3 A community street fair in Pacific Beach showcases local businesses and provides patrons with an opportunity to sample beer & wine. In addition, there will......

read more

Can I Renovate a Condo?

In recent years, condo living has proven to be a popular option amongst first home buyers, families moving to a more central area of the city, and fast-paced entrepreneurs and freelancers alike.......

read more

Downtown San Diego January 2014 Events

Polar Bear Plunge Jan. 1 The Annual LJCSC Polar Bear Plunge and Chili + Potluck. A great way for LJCSC Members to ‘SPLASH’ into the New Year! 10am. Kelogg Park: La Jolla......

read more

Breeza San Diego Market Updates

Breeza – Market Updates Breeza Condos are in a prime location, well situated in the heart of Little Italy. April 2015 Breeza Market Update View the Breeza Market Update February 2015 Breeza......

read more

The Grande San Diego Market Updates

The Grande – Market Updates Located on the east side of Pacific Highway between B and C streets, The Grande is comprised of two 39 story towers, each with 221 residences. Designed......

read more

Aloft San Diego Market Updates

Aloft – Market Updates Aloft condos are perched high atop Cortez Hill on Date Street between 9th and 10th Avenues. The development is comprised of 168 loft units and is located just......

read more

Renaissance San Diego Market Updates

Renaissance – Market Updates This 22-story Downtown San Diego condo building enjoys resort style amenities including elegant staffed lobbies, recreation rooms, a sparkling pool and spa, a fully equipped fitness center and......

read more

5 Red Flags When Buying a Condo

A house hunting process is often long and arduous, as it is notoriously difficult to find a home which fits all of your requirements. This is why many buyers of San Diego......

read more

Get Listings and Articles Delivered Straight to your inbox

  • This field is for validation purposes and should be left unchanged.