Costs of Purchasing a Home
What costs should you prepare for when buying your next home? This is Fawn Bertram with Homes by Fawn and Hawaii Life. Remember, my fees are free to buyers, so you will not need to worry about paying my commission, but there are some fees you are going to have. First, the down payment for the loan. This depends on the type of mortgage program you decide that is best for you. Typical down payments can range from 0% to 20% and everywhere in between. If you haven’t already, I recommend speaking with a lender as soon as possible to see which program is best for you.
Second, earnest money deposit. This is a good faith, upfront deposit that you will make once your offer is accepted. The earnest money is deposited into escrow and goes against the loan. It shows the sellers that you are serious about purchasing the home and have some skin in the game.
Third, the home inspection. We highly recommend that you have the home properly inspected to ensure the home is in acceptable condition and safe for you. Now, these costs can vary based on the size, if it’s a condo, townhome or single-family home. However, if you’d like, I can give you a pretty close estimate.
Finally, the appraisal fee. This is another upfront cost that most banks will verify that there is adequate collateral on your purchase. They protect you, for overpaying as well.
If you have any more questions, I would be happy to help. Call me today, shoot me a text, or give me a call, 808-439-1077. I would love to help answer any questions you have. Stay tuned or visit my website or Youtube channel with more helpful tips on the home buying and selling process. Like, comment and share with anyone you know who may benefit from these videos. Fawn Bertram with Homes by Fawn. Make it a great home buying and selling day