Banana Club

It is common knowledge that a down payment is required when buying your home after a Fairfax County Property Search.  Many do not know, however, about the expense of additional closing costs, which can add up to as much as 3% to 4% of the sale price.

There are two great ways to save on closing costs.  The first involves the title insurance of both the lender and homeowner.  These should not be confused with the homeowner’s annual hazard insurance, which is included in the normal monthly mortgage payment.

The title insurance for the lender is an upfront, one-time fee amounting to as much as $10,000.  Normally, it will range from $1,000 to $3,500 for Fairfax, VA homes for sale at the average price.  The lender’s title insurance will protect the property title from defects and any past problems.

Homeowner’s title insurance, however, is recommended in order to cover your personal equity interest from present into the indeterminate future.  It may seem okay to skip this when buying a Fairfax, VA home, thinking that the lender’s title insurance is enough.  This is not the case, though, as you will not be personally covered.

How do you save money on these insurance costs?  By requesting a reissue rate  on the seller’s existing title insurance policy bought during their original purchase.  When purchasing the home, you can negotiate the contract with the title/escrow company or settlement attorney to convince them to grant the reissue rate.  They may not want to do this, because it can decrease their commission. Nevertheless, if you are well represented by the right buyer’s agent or know the right people, they will.

This knowledge can save you 30% to 40% of title insurance costs.  For example, a typical $2,500 title insurance fee would be cut $750 to $1,000.  What a great way to save on your purchase!

Look for the next post to learn another excellent way to save on closing costs when buying Fairfax County Property Search.

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Thierry is a Real Estate Agent at RE/MAX Premier, and Host of Talk Radio’s, “Inside Real Estate”

Thierry & his team Guarantee a $25,000 minimum savings for Northern VA Homebuyers by applying his unique insider techniques & strategies that he discovered throughout 8 years of exclusive Radio Interviews & Insider Access to wealthy Real Estate Insiders, Investors & Top Industry experts.

Phone: (703) 222-6714

Thierry@ThierryRoche.com

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