Long Beach Island New Jersey Real Estate Market Closing Costs
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Facts About Closing Costs in the LBI NJ Real Estate Market 
Facts About Closing Costs in the LBI NJ Real Estate Market 
Facts About Closing Costs in the LBI NJ Real Estate Market
Long Beach Island Real Estate
When buying a home in the LBI real estate market, all buyers should understand closing costs, what they will cover, and the amount of money that should be budgeted for this item. Closing costs in the Long Beach Island real estate market for a buyer can be broken into two categories. The first are costs that are associated with the actual closing process, for example, title insurance. The second are expenses paid at closing that are associated with the ownership of the home or condo, for example, property taxes. While both will be paid at closing and therefore need to be accounted for, in this article we will be looking specifically at the costs associated with the closing process of a home in the LBI real estate market.
By : Nathan Colmer | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
Click here to search all homes for sale in the Long Beach Island NJ real estate market
Facts About Closing Costs in the LBI NJ Real Estate Market
The fees and expenses associated with the closing process for a home in the LBI real estate market will vary depending on the price of the house. The most significant threshold that can impact closing costs is $1,000,000. For any transaction over $1,000,000, the state of New Jersey will levy the mansion tax, which is 1% of the TOTAL purchase price. Therefore, staying above or below this market can significantly impact the amount of money you, as a buyer, will need to bring to closing. Typically, closing costs will cover:
Attorney fees
Title insurance
Government recording fees
Lender fees (appraisal, origination fees, etc.)
Survey and flood elevation costs
The mansion tax if the purchase price is over $1,000,000
All buyers in the LBI real estate market should remember that each transaction is unique, and therefore there may be fees that are not accounted for on this list. In addition to those fees listed above, costs may be paid before closing. For example, if a buyer elects to perform a home inspection or an oil tank sweep, these fees will usually be paid in advance of closing. While it can be challenging to estimate, buyers should budget for around 1%-2% of the purchase price for closing costs.
Long Beach Island New Jersey Real Estate Market Closing Costs
Closing costs are a part of any Long Beach Island real estate transaction and therefore need to be accounted for. Some transactions will see a much lower total cost. For example, a cash buyer with no home inspection and a sales price under $1,000,000 will have a lower expense than someone who has to pay mortgage lender fees and the mansion tax. In any case, understanding closing costs and knowing what to expect goes a long way in planning for your Long Beach Island NJ real estate transaction. For more information about buying, selling or investing in the Long Beach Island real estate market please do not hesitate to contact me.
By : Nathan Colmer | LBI Real Estate Agent | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
Click here to search all homes for sale in the Long Beach Island NJ real estate market
More LBI Real Estate Information:
Buyer Closing Costs in the Long Beach Island Real Estate Market
Buying a New Home in the Long Beach Island Real Estate Market
4 Common Appraisal Questions for Homebuyers in the LBI NJ Real Estate Market
Buying a New Home in the Long Beach Island Real Estate Market