Home Purchase Closing Costs?
Home purchase closing costs are best known about at the onset of your home purchasing mission.
“Wait, you mean that it’s not just the deposit and down-payment?”.
There are a few other potential home purchase closing costs you must keep in mind:
- Down Payment (Minimum 5% – 20%, or greater)
- Appraisal fee (if applicable)
- Condo certificate fee (if applicable)
- Property inspection fee
- Legal fees + disbursements (purchase and mortgage representation)
- Mortgage insurance premium (less than 20% – can be included to the mortgage)
- Mortgage insurance PST (less than 20% – must be paid at closing)
- Adjustments including prepaid property taxes and utilities
- Interest adjustment
- Mortgage arrangement fees
- Property insurance
- Title insurance
- Water or septic tests
- Provincial land transfer tax
- Toronto land transfer tax (if applicable)
- Moving, storage, etc.
Keep in mind that your lender will typically request evidence that you have the cash equivalent of 1.5% – 4% of the purchase price to cover closing costs.
Note: If you are self-funding your down-payment (cash in your savings account) please keep in mind that funds must be held in the account for a minimum of 90 days with bank statements to verify.
In some instances, we are able to capitalize a portion of the closing costs to your mortgage amount. This places less financial strain on you as the purchaser.
We will help guide you through the number-crunching and mortgage process so that you can focus on what’s fun – finding your dream home!
Contact us anytime for more information.
DV Capital Corporation #13186