Closing costs in Florida question

[Zoe]

I have some family moving to Florida and one of them has lived there before. The family member is saying it is typical for seller to pay all closing costs in Florida.

In other words, it is typical for the seller to pay both the seller's closing costs and buyer's closing cost.

Is that true?

 

[Zoe]

I want to say she said it is typically 7-10% and seller typically pays both seller and buyer closing costs in Florida.

It is not that way in Tennessee across the board.

Can you confirm @J Grant ?

 

[J Grant]

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In Florida, both the buyer and the seller pay closing costs, but the division of costs can be negotiated.

Seller costs

• Real estate agent commissions
• Title insurance
• Attorney fees
• HOA transfer fees
• Prorated property taxes and HOA dues
• • Outstanding mortgages or liens
  • Documentary stamp taxes
  • Seller's concessions

Buyer costs home appraisal and inspection costs, lender fees/credit checks, recording fees, loan origination fees, and optional survey fees.

Other considerations

• • In some of the most populous counties, like Miami-Dade, the buyer typically covers the owner's title insurance policy.
    
  • Sellers usually pay for real estate agent commissions, which can be between 5% and 6% of the sale price.
    
  • Buyers and sellers can negotiate who pays for certain expenses.
    
  • The closing agent or attorney handling the transaction typically calculates the prorations.
    

It's important to discuss the closing co

 

[Zoe]

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View attachment 97356
In Florida, both the buyer and the seller pay closing costs, but the division of costs can be negotiated.

Seller costs

• Real estate agent commissions
• Title insurance
• Attorney fees
• HOA transfer fees
• Prorated property taxes and HOA dues
• • Outstanding mortgages or liens
  • Documentary stamp taxes
  • Seller's concessions

Buyer costs home appraisal and inspection costs, lender fees/credit checks, recording fees, loan origination fees, and optional survey fees.

Other considerations

• • In some of the most populous counties, like Miami-Dade, the buyer typically covers the owner's title insurance policy.
  • Sellers usually pay for real estate agent commissions, which can be between 5% and 6% of the sale price.
  • Buyers and sellers can negotiate who pays for certain expenses.
  • The closing agent or attorney handling the transaction typically calculates the prorations.

It's important to discuss the closing co

Okay, I didn't think that was across the board thing. This family member says the seller always pays the buyer's closing cost in Florida. I was like I am not sure that is true.

 

[TC]

Always trust a family member as opposed to a RE professional.

 

[ZZGAMAZZ]

I have some family moving to Florida and one of them has lived there before. The family member is saying it is typical for seller to pay all closing costs in Florida.

In other words, it is typical for the seller to pay both the seller's closing costs and buyer's closing cost.

Is that true?

I'm wondering if you refer to agent commissions rather than closing costs, per se, which BTW usually are shared here in SoCal.

 

[Zoe]

I'm wondering if you refer to agent commissions rather than closing costs, per se, which BTW usually are shared here in SoCal.

I think she was referring to closing costs on the loan. I was like I don’t think that is true. Her step daddy is big real estate investor in St Petersburg area. He owns two big corporations there also. He has airplane and all.

She don’t know what she talking about.

 

[Zoe]

She don’t know. The buyer has closing costs and seller has closing costs even in a quit claim or cash sale. She don’t understand

Her step daddy hasn’t taught her that.

 

[ZZGAMAZZ]

I think she was referring to closing costs on the loan. I was like I don’t think that is true. Her step daddy is big real estate investor in St Petersburg area. He owns two big corporations there also. He has airplane and all.

She don’t know what she talking about.

And the newer NAR standards are complex IMO. Buyer's contract includes space for buyer to indicate sales commission % paid by buyer to his agent-- unless eventual seller agrees to pay some or all of the buyer's agent commission that is subtracted from the amount the buyer contract indicates-- although buyer's agent cant receive a total commission from seller and buyer together that is higher than what the original buyer's contract indicates the %age that buyer agrees to pay. Crux of the regs is that a MLS listing can't describe the amount of agents' commissions the seller is willing to pay--although it's perfectly fine for that info to be published on any other media, and agents are free to discuss it between themselves. [ Kinda sorta seems to be much ado 'bout nothing, although presumably integral to the appraiser's contract analysis...]

 

[Mark K]

ALL closing costs are always negotiable. There are costs that are typically paid by the buyer and seller but there is no rule or law mandating it.

Now if you sign an agreement that states otherwise, you are responsible for those costs.

I've sold more than one property to a highly motivated buyer with the understanding that he paid ALL COSTS associated with the transaction. On my side of the HUD 1 there was the sales price at the top and the same number at the bottom, no expenses to me.

Everything is always negotiable. VA financing may be an exception in that they require the seller to pay for certain items.