Closing Costs – Who Generally Pays What In a Torrance CA Escrow
Title Fees
|
Cost
|
Customarily
Charged By/To: |
Description
|
|
Title: To Seller |
Fee for the title policy. Calculated using the sales price. May be reduced if home was purchased or refinanced in the last 5 years. Insures that the title is as agreed to at closing |
|
Title: To Buyer |
Title policy issued to lender to cover the amount of the loan. Based on the loan amount unless it is a negative amortization loan. |
|
Title: to Buyer & Seller |
Fee to administer the payoff of loans or property taxes of the seller and collection of funds from the new lender |
|
County, City: to Seller |
Fee charged on all properties that transfer title – based on sales price. |
|
County: To Seller |
Charge to record the release/reconveyance |
|
Federal Express: to Buyer & Seller |
Charge to deliver all time sensitive documents and monies |
|
Banking Instituion: to Seller |
Charge to wire funds to escrow, seller, lenders, etc |
|
County: to Buyer |
Charge to electronically record the document |
|
County: To Buyer |
Charge to record the grant deed |
|
County: To Buyer |
Charge to record the trust deed. |
|
Messenger Service: To Buyer and Seller |
Charge to special messenger documents during the escrow: Fee varies with distance |
|
Title: to Buyer |
Charge for endorsements required by lender to cover “outside the normal” risk circumstances |
Escrow Fees
|
Customarily
Charged By/To: |
Description
|
|
Escrow: to Buyer & Seller |
Covers liability assumed as well as standard processing costs. |
|
Escrow: to Seller |
Charge to request a statement & process involved in getting a payoff figure to escrow on the outstanding amount of the current loan. One demand fee per loan. |
|
Escrow: to Buyer & Seller |
Fee for processing required to assign membership for HOA a& copying all governing documents |
|
Escrow: to Buyer |
Covers the cost of all processing required to meet new lender requireents |
|
Escrow: to Buyer |
Covers the cost of all processing required to meet new lender requirements |
|
Federal Express: to Buyer |
For document packages to out of County Lenders. |
Lender Fees
|
Customarily
Charged By/ To |
Description
|
|
Lender: to Buyer |
Charge for lending money at 1% of the loan amount |
|
Lender: to Buyer |
Paid to lender for preparation of final loan documents |
|
Tax Service: to Buyer |
Fee charged to buyer to set up property taxes with the state |
|
Banking institution |
Charge for the wiring of funds to title for closing |
|
Lender: to Buyer |
Fee to direct lender for the process of approving |
|
Lender: to Buyer |
Collected to create an impound reserved account for the lender to pay property taxes twice a year |
|
Lender: to Buyer |
1yr + 2 months hazard insurance collected for impound reserve account |
|
Appraiser: to Buyer |
Paid directly to appraiser for appraisal of property |
|
Lender: to Buyer |
Paid to credit bureau for report containing 3 credit scores |
|
Lender: to Buyer |
Paid to mortgage broker for processing loan package from application to closing |
Disbursements
|
Cost
|
Customarily
Charged By/ To |
Description
|
|
HOA Management: to Seller | To transfer ownership and handle new accounting set up |
|
HOA Management: to Seller | Paid through month o closing |
|
Insurance Agency: to Buyer | 1 year prepaid premium for Homeowners insurance |
|
Notary: to Buyer | Charge to seller for signing of grant deed or certificatin |
Payoffs
|
Cost
|
Customarily
Charged By/ To |
Description
|
|
Existing Lender: to Borrower | Charge for having reconveyance recorded. |
|
Existing Lender: to Borrower | Charge for issuing a payoff statement |
Credits
and Prorations
|
Cost
|
Customarily
Charged By/ To |
Description
|
|
Seller: to Buyer | Calculated from date of COA through month-end |
|
Seller: to Buyer | Calculated from the date of payoff through end of period paid for. |