Calculating Closing Costs

Give Counselors Title the opportunity to save you money on your closing costs. Simply answer a few questions on our Closing Cost Calculator for MD, DC or VA,  or call us at (202)-686-0100 to ascertain the best quote.

CALCULATING CLOSING COSTS

I.         Some General Principals

A.      ‘Tis better to overestimate than underestimate

B.      First payment on a new loan will be due on the 1st day two months after the settlement ( i.e., close  in February, 1st payment is April 1)

C.      Loan interest is paid in arrears

II.       Seller costs

A.      Payoffs

1.      RoT: Add 1 payment to principal balance

B.      Releases ($135.00 per release, $35 per release tracking)

C.      Tax Adjustments (usually a credit in MD, debit in DC)

D.      Transfer and Recordation Taxes (see below)

E.       Settlement Fee($399.00), MD Withholding($45)

F.       Commissions, Transaction fees and costs advanced

 

III.       Buyer costs

A.      Transfer and Recordation Taxes

1.      Maryland(MoCo)

a)      Total of 2.39 % of purchase price

Effective 9/1/16, add an additional .46% to the amount in excess of $500,000

b)      Parties split unless otherwise agree (almost 1.2% each)

c)      First Time Home Buyer

i)       exempt from State Transfer only

ii)      Seller pay unless otherwise agree

d)      Owner Occupant

i)       1st $100K exempt from State Recordation only

ii)      $890.00 savings ($445 each if split)

 

2.      D.C.

a)      Total of 2.9% (if under $400,000.00, total of 2.2%)

i)       Transfer Tax (Seller) 1.45% (1.1% if under $400K)

ii)      Recordation Tax (Buyer) 1.45% (1.1% if under $400K)

b)      parties split unless otherwise agreed (1.45% each)

3.      VA.

a)      Buyer pays grantee taxes of 0.3334% per document.

b)      Seller pays grantor taxes of  0.25% of sales price

 

CALCULATING CLOSING COSTS

B.     Escrows

1.      Property taxes

a)     Maryland

(www.montgomerycountymd.gov/apps/tax)

i)                    Tax year runs 7/1 to 6/30

ii)                   Taxes payable:

9/30 (7/1 – 12/31)

12/31(1/1 – 6/30)

iii)                 need 11 months by September payment

iv)                 Estimated Months of Escrow needed:

J(4);F(5);M(6);A(7);M(8);J(9); J(10);A(11);S(6);O(7);N(8);D(3

b)      D.C. (www.taxpayerservicecenter.com)

i)       Tax year runs 10/1 to 9/30

ii)      Taxes payable:

3/15 (10/1 – 3/30)

9/15 (4/1 – 9/30)

iii)     need 8 months by March or September payment

iv)     Estimated Months of Escrow needed:

J(7);F(8);M(3);A(4);M(5);J(6);

J(7);A(8);S(3);O(4);N(5);D(6)

c)      Virginia

(www.fairfaxcounty.gov/dta/pay-real-estate-taxes/)

i)       Tax year runs 1/1 to 12/31

ii)      Taxes payable (Varies by County)

7/28 (1/1 – 6/30)

12/5(6/30 – 12/31)

iii)     need 8 months by July payment

iv)     Estimated Months of Escrow needed:

J(2);F(3);M(4);A(5);M(6);J(7); J(8);A(4);S(5);O(6);N(7);D(8)

2.      Homeowner’s coverage

a)      Need 1 year up front plus 3 months

 

C.      Title Insurance

1.      Figure $5.23 per $1,000.00 ($6.84 for DC)

2.      Ask us about possible reissue discount

D.      Tax Adjustments (usually debit in MD, credit in DC and VA)

E.       One Title Fee, including title abstract ($899)

F.       Filing Fees

1.      MD: $60.00 per document (estimate $120.00)

2.      DC $31.50(1st 2 pages) , then $7.00 per page (estimate $188.00)

3.      VA $43.00 (estimate $99)

G.     Possible Tax escrows by title company

1.      MD (September and December)

2.      DC (March and September)

VA (July and December)