Seller and buyer closing costs state by state. Here’s a list to help determine which party is responsible for title insurance costs and survey expenses.

Seller and buyer closing costs can really add up. High seller closing costs and fees can cut into the profit a seller is expecting to pocket from the sale of his or her home or increase the amount of money the seller needs to come to the closing if the seller owes more money on his mortgages than the amount he or she will net from the sale of the home.

Likewise, buyer closing costs can increase the amount of money a buyer needs to close on the purchase a home.

We have several other articles on ThinkGlink.com that list the endless seller and buyer closing costs you’ll encounter when you buy or sell property. You should read those articles for more detailed information on the seller and buyer closing costs you’ll encounter. You can link to these other articles here:

Buyer Closing Costs

Seller Closing Costs

Addressing the Forgotten Seller and Buyer Closing Costs: Title Insurance and Survey Costs

Most people remember many seller and buyer closing costs but two closing costs that are at times forgotten are title insurance expenses and survey costs.

The buyer must pay for title insurance expenses related to their loan with their lender in just about every state. In some states, the seller pays for the owner’s title insurance policy as a seller closing cost. In other states, the buyer pays for the owner’s title insurance policy as a buyer closing cost.

An owner’s title insurance policy insures the new buyer of the home against title insurance problems and issues. Done right, an owner’s title insurance policy will protect a buyer against forged documents, lien claims, undisclosed easements and other agreements, and claims by others against the new buyer’s ownership interest in the property.

Finally, in many states, if you want to make sure you know what you are buying and that there are no title insurance problems or issues relating to property boundaries or other survey issues, you need to come to the closing with a plat of survey.

The plat of survey will depict the building and other structures located on the land you are buying and draw out any potential problems with that particular piece of land. If the neighbor’s garage is actually a foot onto the property you are buying, the survey should disclose that. For more information on surveys, read:

No Survey Leads to Big Problems

Seller and Buyer Closing Costs State By State

See table below to determine the party that may be responsible for the payment of title insurance costs and survey expenses:

STATETITLE INSURANCESURVEY
ALABAMANegotiableNegotiable
ALASKASellerSeller
ARIZONASellerBuyer
ARKANSASSellerNegotiable
CALIFORNIAVariesBuyer
COLORADOSellerNegotiable
CONNECTICUTBuyerBuyer
DELAWAREBuyerBuyer
DISTRICT OF COLUMBIABuyerBuyer
FLORIDASellerNegotiable
GEORGIANegotiableBuyer
HAWAIIVariesNegotiable
IDAHOSellerNegotiable
ILLINOISSellerSeller
INDIANASellerBuyer
IOWANegotiableNegotiable
KANSASVariesSeller
KENTUCKYBuyerBuyer
LOUISIANABuyerNegotiable
MAINEBuyerBuyer
MARYLANDBuyerBuyer
MASSACHUSETTSBuyerBuyer
MICHIGANSellerNegotiable
MINNESOTANegotiableNegotiable
MISSISSIPPISellerNegotiable
MISSOURIVariesSeller
MONTANASellerNegotiable
NEBRASKADivided equallySeller
NEVADASellerNegotiable
NEW HAMPSHIREBuyerBuyer
NEW JERSEYBuyerBuyer
NEW MEXICOSellerBuyer
NEW YORKBuyerNegotiable
NORTH CAROLINABuyerBuyer
NORTH DAKOTABuyerBuyer
OHIONegotiableBuyer
OKLAHOMABuyerBuyer
OREGONSellerBuyer
PENNSYLVANIABuyerBuyer
RHODE ISLANDBuyerBuyer
SOUTH CAROLINABuyerBuyer
SOUTH DAKOTADivided equallyBuyer
TENNESSEENegotiable/Buyer Negotiable
TEXASSellerNegotiable
UTAHSellerBuyer
VERMONTBuyerBuyer
VIRGINIABuyerBuyer/Negotiable
WASHINGTONSellerBuyer/Negotiable
WEST VIRGINIABuyerBuyer
WISCONSINSellerNegotiable
WYOMINGSellerNegotiable

 

How to Use and Confirm this Information

Use this information only as a guide in determining buyer or seller closing costs when planning for your home purchase or sale. Keep in mind that some of these costs may change from county to county, depending on the custom in each county. For more information, you can call a title insurance company in your area and ask them to tell you who typically pays for these expenses in your area or talk to a real estate attorney in your community. Frequently, most real estate sales agents and brokers are also quite knowledgeable on the issue of who pays for what when it comes to some of these expenses.

You should also know that title insurance costs vary from state to state. For example, in some states, the owner’s title insurance policy on a $100,000 home may cost $1,500 and that same policy in a different state may cost two or three times that amount. Furthermore, title insurance fees seem to multiply if you are buying a home and you have a lender involved. With a lender, buyer closing costs can mushroom by including a lender’s title insurance policy along with “required” endorsements.

More on Topics Related to Seller and Buyer Closing Costs State by State

Credit 101: What’s in Your Credit Reports?

Home Closing Costs Every Buyer and Seller Should Expect to Pay

Buying A Home: Estimated Closing Costs

Home Closing Tips: Real Estate Minute with Ilyce Glink

Is My Real Estate Agent Doing a Good Job?

How Much Do I Have to Pay in Real Estate Taxes?

How Do I Get My Home Off of Real Estate Listing Sites?