When you sell a home, understanding the final numbers can feel confusing. A significant part of this is figuring out who pays closing costs in North Carolina. These fees can surprise both buyers and sellers if they aren’t prepared. This post will break down the typical closing costs you can expect.
Understanding the Division of Costs
So, who typically pays closing costs? In North Carolina, both parties are financially responsible. While some expenses are traditionally assigned to either the buyer or the seller, many are negotiable. It often comes down to the specifics of your purchase agreement.
Loan Origination Fees
These fees are what a lender charges to create the loan. Since this cost is tied directly to the buyer’s financing, the buyers pay for it.
Appraisal Fees
A lender requires an appraisal to confirm the home’s value matches the loan amount. Typically, the buyer is responsible for this expense before the sale can be finalized.
Home Inspection
Buyers usually hire a professional to inspect the property for any hidden issues. This is a buyer’s cost and occurs before closing.
Title Insurance
Lenders require a title insurance policy to protect their investment, and buyers typically purchase it. Sellers often buy their own separate owner’s title policy to ensure a clear title.
Deed Preparation
The seller is responsible for the fee associated with preparing the deed. This legal document, often handled by a real estate attorney, officially transfers property ownership to the buyer. This is a typical seller expense in North Carolina.
Real Estate Agent Commissions
The seller traditionally pays the real estate agent’s commissions for both the seller’s agent and the buyer’s agent. This is often the most significant closing expense for sellers, and it’s a standard part of most transactions.
Property Taxes
Prorated property taxes are split between the buyer and seller. The seller pays the taxes for the portion of the year they owned the home, and the buyer pays the rest. This is standard practice in North Carolina.
Let Us Handle the Details
The average closing costs in North Carolina are around 1% of the home’s sale price (according to Bankrate), and we help you avoid many of them. At Joe Homebuyer Triad Group, we specialize in making the home-selling process simple and transparent. We handle the complexities so you can focus on your next chapter.
Our team provides fair, no-obligation cash offers, giving you a clear and straightforward path to selling your home without the usual stress. If you want to cover the costs with ease, we are your solution.