| Home buyer's who purchase a home without a real | | | | only do you want to make sure the water quality |
| estate agent (or sometimes purchase through an | | | | passes, you want to make sure the well has plenty of |
| inexperienced agent) can find out too late they don't | | | | flow so you don't run out of water. |
| have enough money to close and move. | | | | 7.) Miscellaneous Origination and Loan Fees |
| Top 10 Costs Home Buyers Miss: | | | | Your mortgage lender adds fees for processing your |
| 1.) Property Taxes and Assessments | | | | loan, document preparation, underwriting, closing, |
| Home buyers often need to set up an escrow | | | | funding, and sometimes "garbage fees." Check your |
| account with the new mortgage lender. This means | | | | estimated costs statements and look for hidden fees. |
| that they must pay a portion of taxes upfront. In some | | | | Before committing to a lender, shop for your best loan |
| states, the seller has already paid the local taxes and | | | | and compare lender's costs. |
| this amount must be paid back to the seller at closing. | | | | 8.) Association and Maintenance Fees |
| Also, some counties have transfer taxes whenever a | | | | Most buyers understand that a condo comes with |
| property changes hands. | | | | association fees. However, some housing |
| 2.) Insurance | | | | developments also charge maintenance fees. Don't |
| Fire insurance or a homeowner's insurance policy | | | | assume that the fees will be nominal. Many condos in |
| usually needs to be paid for up front. Although you | | | | California have association fees over $400 per month. |
| may be able to get an insurance binder from your | | | | Some of these fees need to be paid annually, which |
| company on a payment plan, most mortgage | | | | means a home buyer needs to pay upfront. |
| companies require the first year paid during escrow or | | | | 9.) Utility Service Fees |
| closing. | | | | Check your hook up and installation fees for water, |
| 3.) Appraisal Fees | | | | gas, electricity, cable or satellite TV, phone, trash, |
| Mortgage lenders require appraisals to make sure your | | | | sewer and other services. Sometimes the water |
| property covers your loan amount plus their | | | | department covers the sewer and trash service. |
| investment risk. The buyer normally pays between | | | | These fees quickly add up and you don't want any |
| $150-$450 to the appraiser. | | | | surprises like a $340 water deposit required by some |
| 4.) Survey Fees | | | | companies. |
| Some lenders require a property survey. You may | | | | 10.) Moving Costs |
| also want a survey if the property lines are in question. | | | | Plan your move before committing to a purchase. |
| Survey fees vary from $600-$2,500, or more for large | | | | Know whether you can move yourself or need to hire |
| parcels. | | | | professional movers. You may be shocked to find out |
| 5.) Septic System Certification | | | | the costs involved. Ask for referrals of clients and |
| If your new property does not connect to public | | | | check out moving companies. Prices for truck rental |
| sewers, you may need a septic clearance for your | | | | and moving companies vary. |
| lender. Often the home seller pays this cost, but you | | | | Make sure you have all your purchase and moving |
| want to make sure you get no hidden charges or | | | | costs covered before you make an offer to purchase |
| surprises. | | | | a home. You don't want to find out when it's too late |
| 6.) Water Quality Certification | | | | that you need more money. |
| The same holds true for properties with a well and not | | | | Copyright © 2005 Jeanette J. Fisher. All rights |
| public water service. For your own piece of mind, you | | | | reserved. (You may publish this article in its entirety |
| will want to check the water quality and have this | | | | with the following author's information with live links |
| clause as a condition in your purchase contract. Not | | | | only. |