Definition of Closing Costs
ESCROW FEES
| Cost | Charged By | Description |
|---|---|---|
| Escrow Fee | Escrow; to Buyer and Seller | Covers liability assumed as well as standard processing costs |
| Demand Fee | Escrow; to Seller / To Borrower | Charge to request a statement & process involved in getting a payoff figure to escrow on the outstanding amount of the current loan. 1 demand fee per loan. |
| Process HOA does & transfer fee | Escrow; Buyer and Seller | Fee for processing required to assign membership for HOA & Copying all governing documents |
| Document Fee | Escrow; To Buyer and Seller | Covers the expense for drawing legal documents for official records. |
| Loan Tie in Fee | Escrow; To Buyer | Covers the cost of all processing required to meet new ender requirements |
| Messenger Fees | Federal Express/ UPS | Charge to deliver loan docs to the lender |
TITLE FEES
| Cost | Charged By | Description |
|---|---|---|
| Owners Title Policy | Title | Fee to issue a title policy. Calculated using the sales price. May be reduced if home was purchased or refi’d in the last 5 years. Insures that the title is free and clear at the time of purchase. |
| Buyers Title Policy | Title | Title policy issued to lender to cover the amount of the loan based on the loan amount. |
| Sub-Escrow Fee | Title; split between buyer and seller | Fee to administer the payoff of loans of property taxes of the seller & collection of funds from the new lender. |
| Document Transfer Tax | Counter City | Fee charged on all properties that transfer title – based on sales price – prices vary by county and city. |
| Federal Express | Federal Express | Charge to deliver payoffs to lender. |
| Title/Wire Fee | Banking Institution | Charge to wire funds to escrow, seller, lenders, etc. |
| Electronic Recording (shipping & handling) | ORANGE COUNTY ONLY | Charge to electronically record the documents. |
| Record Grant Deed | County | Charge to record the Grant Deed |
| Record Trust Deed | County | Charge to record the Trust Deeds. |
| Messenger | Messenger Service | Charge to Messenger documents during the course of escrow, Fee varies with distance. |
| Lenders Endorsement | Most Standard Endorsements are not charged | Varies by lender – charge for endorsements to the title policy above the normal coverage. |