How much money will be required at closing?
You should consult with your individual lender and closing agent; however, the amount of money needed for cash to close is comprised of your down payment, closing costs, as well as the prepaid items for your initial taxes and insurance escrow accounts. A lender is required to provide you with a good faith estimate of all settlement costs within 3-days of application. Also, typically within 24 hours prior to your closing, the closing agent will provide you with the final sum of money required for the closing referred to as the HUD settlement statement. Closing costs generally range from 2% to 3% of your loan amount.
You should consult with your individual lender and closing agent; however, the amount of money needed for cash to close is comprised of your down payment, closing costs, as well as the prepaid items for your initial taxes and insurance escrow accounts (if applicable). Typically within a couple days prior to your closing, the closing agent will provide you with the final sum of money required for the closing.
