WHAT ARE CLOSING COSTS
When you purchase a home, you will have to pay what is known as closing costs. These are fees above and beyond the down payment on your mortgage. Closing costs generally amount to around 2% of the cost of the home. For example, if you buy a $500,000 home, closing costs can be somewhere around $10,000. That will include fees from the lender, title company, plus what is known as pre-paids. Pre-paids include property taxes and homeowners insurance.
HOW OUR PROGRAM WORKS
We will pay up to 2% of the price of the home towards your closing costs. In some instances, we can arrange for the builder or lender to pay some of your closing costs as well. In those cases, you might end up paying no closing costs at all. The portion of your closing costs that we pay includes the fees from the lender and title company. We will not pay your property taxes or your homeowners insurance.
WHAT YOU NEED TO DO
First, call me before you go to visit a builder. I need to have an idea of what you are looking for and where you are looking. When you visit a builder, make sure to tell them that you are working with Joseph & Cindy Spurlock, realtors with Keller Williams. Some builders require that we be there on your first visit to their model home, but most do not. They understand that you are shopping around. Once you decide on a builder, we will need to be there to help you pick a lot, choose a floor plan, and negotiate the contract.
If a builder refuses to work with a realtor or pay a commission, I cannot offer you this program. We are using our commission to pay a portion of your closing costs. If a builder refuses to pay commission to a realtor, you probably don't want to work with that builder anyway.