California Closing Costs

California Closing costs are fees charged by the mortgage lender and other service providers. Some of these charges include mortgage origination fees, credit report fees, discount points, lender's attorney's fees, document preparation fees, land survey, appraisal, hazard insurance premium, title insurance premium, release fees, inspection fees, prepaid interest, and a tax and insurance escrow account (also known as an impound account). California Closing costs are likely to be paid by you, the buyer, but local customs vary. It is possible to have an agreement where the seller pays some or all of the closing costs. Use our calculator to estimate your closing costs. 

At closing you may have to put aside money into special escrow accounts to cover other California Closing costs associated with buying a home, such as private mortgage insurance (PMI), property taxes and homeowner's insurance. This will ensure that taxes and insurance premiums on the property are paid on time. Federal law limits the amount of "cushion" to two months of escrow payments. Be sure to ask the lender what escrow payments will be required at closing. Some mortgage companies may waive escrow requirements if you pay more points or a higher interest rate It is important to review the estimate of California Closing costs and to ask questions about fees that seem unfamiliar. Lenders differ and can get creative when it comes to other types of charges.