Understanding Closing Costs in Massachusetts

Understanding Closing Costs in Massachusetts

The down payment isn't the only check you'll write. Buyers and sellers alike need to prepare for closing costs, which can total 2-5% of the purchase price.

Buyer Costs

• Loan Origination Fees: What the bank charges to process your mortgage.
• Title Insurance: Protects you from future claims against the property title.
• Recording Fees: Paid to the Registry of Deeds to officially record your ownership.

Seller Costs

• Transfer Tax (Tax Stamps): In MA, this is usually $4.56 per $1,000 of the sale price.
• Attorney Fees: To draft the deed and manage the closing.
• Commission: Typically the largest expense for a seller.