In the past year, closing costs in the state of Ohio have reduced by 6%.
With that reduction Ohio is still the 11th-highest in closing costs
nationwide. On average, for a $200,000 home purchase mortgage in Ohio,
it now costs $3,933, down from $4,165 last year.
The U.S. average is $3,754, a decline of 7 percent from 2011.
The
reduction in costs can be attributed to new regulations that require
lenders to
be more accurate when estimating closing costs for borrowers. The
regulation, which was put in place two years ago as part of the Real
Estate Settlement Practices Act requires lenders to provide a "good
faith estimate" of third-party fees
that is within 10% of the actual amount the buyer will pay.
In
addition, the mortgage crisis drove a lot of the high-cost mortgage
brokers out of business. The collapse of the housing market means that
dramatically fewer
people are buying homes, so banks and title companies have to be more
competitive.
Hello,
ReplyDeleteWhen closing the real estate transactions, many home buyers especially those who are new to home-buying, are not aware of their liability to additional costs. They are facing problems. So all Buyers are need to keep some extra funds along-side the cost of the home.
Real Estate Closing Attorney