Who pays closing cost the buyer or seller of a home?

Question

Who pays closing cost the buyer or seller of a home?

Answer 1

Anything in a contract and sale is up for negotiation.  Including price, terms, and costs.

You can put costs for home inspection, costs for repairs and closing costs on the negotiation table.

If the buyer pays then he ends up deducting the costs from the total sale price and what he/she owes on the mortage.  e.g. if he sells house for 500k, owes 198k in mortage  and 2k in closing costs ... he nets ( 500k - (198k + 2k) )  --- 300k.

If the seller pays he eighter can tack it on to the mortgage or pay it as part of the downpayment. e.g. Sell price is 500k - and closing costs are 2k.  Well he can choose 502k as sell price and put % down and finace rest.  Or he can choose 500k sell price and put % down + 2k.  (Smart thing would be to pay 2k if you have it, as you don't want to pay the 2k over the life of the loan).

Answer 2

Normally it is the buyer who pays the closing costs; however, a seller could offer to pay them as part of a 'deal', or the seller could pay them as a result of the negotiations.

Answer 3

normally the closing costs are divided between the seller and the buyer in the state of Ohio.... however that issue can be negotiated at the onset of the deal....  and also the commissions are paid by the seller.... I am a Realtor

Answer 4

Both The buyer and the seller sometimes.

Answer 5

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