Closing Costs, Points, and Title Insurance
| WHAT ARE CLOSING COSTS? |
Closing costs are charges paid to various entities during the real estate transaction. They can include escrow fees, document preparation fees, the cost of an inspection, and lender fees. |
| WHAT IS A POINT? |
A point is equal to one percent of the loan principal. Some lenders charge points, in addition to interest and fees, at closing. |
| WHAT IS TITLE INSURANCE? |
Title insurance protects against loss from any defects in the legal title, liens against the property or other adverse claims. The lender usually requires title insurance. |