Closing Costs in New Mexico – Discover The Top 3
Shopping for a home is an exciting journey and many questions come up. One of the most common questions Susan and I get is what are the closing costs in New Mexico for buyers. We are happy to provide this information we hope is helpful.
We like to break down the closing costs in New Mexico for buyers in into three categories: Loan, Title and Inspections costs. This is a good starting point to begin to understand the fees.
Common Loan Fees
Appraisal: The lender will hire an independent appraiser to evaluate the market value of the property. In a seller’s market, this fee is almost always a closing cost for buyers. s fee pays for the appraisal of the property. You may already have paid this fee at the beginning of your loan application process.
Other Loan Fees: Lenders will have underwriting and processing fees to put your loan together for you. These will vary by lender, so it is always a good idea to ask for their fee structure.
Prepaid Fees: These can actually be the most expensive fees on a closing statement for buyers. Lenders will require that buyer’s prefund their escrow accounts for taxes and insurance.
It is common for lenders to ask for 3 to 6 months of taxes and insurance to be prepaid into these accounts. It is also common for the lenders to require to prepay the annual homeowners insurance as well.
Title Insurance Fees
In New Mexico, it is common for the seller of the home to pay for the majority of the Title closing fees. These include things such as a closing fee, document preparation and recording fees. The most common closing costs for buyers Title fee in NM is the Mortgagee Policy. This is a Title fee required by the lender so that is why it is is a closing costs for buyers in New Mexico.
Inspection Fees
In a seller’s market, a common closing costs for buyers is that buyer’s will typically pay for the home inspections that you will like to get prior to closing. These can include general home inspections, sewer scopes, radon and mold specialty inspections and many more.
Work with Your Professionals
It is best to work closely with your lending and real estate broker professionals as you begin your home buying journey. Each party can help explain these fees in more detail to get your prepared for the purchase of a home. Ask them to show you a sample of fee structures for obtaining a loan, ordering inspections and closing with a particular Title company. We wish you all the best on your home purchase. Susan and I are here to help in the greater Albuquerque area.
Questions about closing costs in New Mexico – Happy to Help
Susan and I are happy to speak with you further about closing costs for buyers and how these fees and how they might apply in your situation. It will be a pleasure to speak with you.
Homes for Sale
To find homes for sale in the greater Albuquerque area, be sure to visit homes for sale in the greater Albuquerque area.
Closing Costs in New Mexico – Contact Us
If you have more questions about closing costs in New Mexico for buyers, we are happy to help.
- Mark Ryerson 505-288-5239
- Susan Ryerson 505-974-5307
Team Ryerson has helped over 250 families with their residential real estate needs in the greater Albuquerque area. We are known for using innovative marketing solutions to sell homes and for providing exceptional service to our buyers when purchasing a home.
