Seller and buyer closing costs state by state. Here’s a list to help determine which party is responsible for title insurance costs and survey expenses.
Seller and buyer closing costs can really add up. High seller closing costs and fees can cut into the profit a seller is expecting to pocket from the sale of his or her home or increase the amount of money the seller needs to come to the closing if the seller owes more money on his mortgages than the amount he or she will net from the sale of the home.
Likewise, buyer closing costs can increase the amount of money a buyer needs to close on the purchase a home.
We have several other articles on ThinkGlink.com that list the endless seller and buyer closing costs you’ll encounter when you buy or sell property. You should read those articles for more detailed information on the seller and buyer closing costs you’ll encounter. You can link to these other articles here:
Addressing the Forgotten Seller and Buyer Closing Costs: Title Insurance and Survey Costs
Most people remember many seller and buyer closing costs but two closing costs that are at times forgotten are title insurance expenses and survey costs.
The buyer must pay for title insurance expenses related to their loan with their lender in just about every state. In some states, the seller pays for the owner’s title insurance policy as a seller closing cost. In other states, the buyer pays for the owner’s title insurance policy as a buyer closing cost.
An owner’s title insurance policy insures the new buyer of the home against title insurance problems and issues. Done right, an owner’s title insurance policy will protect a buyer against forged documents, lien claims, undisclosed easements and other agreements, and claims by others against the new buyer’s ownership interest in the property.
Finally, in many states, if you want to make sure you know what you are buying and that there are no title insurance problems or issues relating to property boundaries or other survey issues, you need to come to the closing with a plat of survey.
The plat of survey will depict the building and other structures located on the land you are buying and draw out any potential problems with that particular piece of land. If the neighbor’s garage is actually a foot onto the property you are buying, the survey should disclose that. For more information on surveys, read:
No Survey Leads to Big Problems
Seller and Buyer Closing Costs State By State
See table below to determine the party that may be responsible for the payment of title insurance costs and survey expenses:
| STATE | TITLE INSURANCE | SURVEY |
| ALABAMA | Negotiable | Negotiable |
| ALASKA | Seller | Seller |
| ARIZONA | Seller | Buyer |
| ARKANSAS | Seller | Negotiable |
| CALIFORNIA | Varies | Buyer |
| COLORADO | Seller | Negotiable |
| CONNECTICUT | Buyer | Buyer |
| DELAWARE | Buyer | Buyer |
| DISTRICT OF COLUMBIA | Buyer | Buyer |
| FLORIDA | Seller | Negotiable |
| GEORGIA | Negotiable | Buyer |
| HAWAII | Varies | Negotiable |
| IDAHO | Seller | Negotiable |
| ILLINOIS | Seller | Seller |
| INDIANA | Seller | Buyer |
| IOWA | Negotiable | Negotiable |
| KANSAS | Varies | Seller |
| KENTUCKY | Buyer | Buyer |
| LOUISIANA | Buyer | Negotiable |
| MAINE | Buyer | Buyer |
| MARYLAND | Buyer | Buyer |
| MASSACHUSETTS | Buyer | Buyer |
| MICHIGAN | Seller | Negotiable |
| MINNESOTA | Negotiable | Negotiable |
| MISSISSIPPI | Seller | Negotiable |
| MISSOURI | Varies | Seller |
| MONTANA | Seller | Negotiable |
| NEBRASKA | Divided equally | Seller |
| NEVADA | Seller | Negotiable |
| NEW HAMPSHIRE | Buyer | Buyer |
| NEW JERSEY | Buyer | Buyer |
| NEW MEXICO | Seller | Buyer |
| NEW YORK | Buyer | Negotiable |
| NORTH CAROLINA | Buyer | Buyer |
| NORTH DAKOTA | Buyer | Buyer |
| OHIO | Negotiable | Buyer |
| OKLAHOMA | Buyer | Buyer |
| OREGON | Seller | Buyer |
| PENNSYLVANIA | Buyer | Buyer |
| RHODE ISLAND | Buyer | Buyer |
| SOUTH CAROLINA | Buyer | Buyer |
| SOUTH DAKOTA | Divided equally | Buyer |
| TENNESSEE | Negotiable/Buyer | Negotiable |
| TEXAS | Seller | Negotiable |
| UTAH | Seller | Buyer |
| VERMONT | Buyer | Buyer |
| VIRGINIA | Buyer | Buyer/Negotiable |
| WASHINGTON | Seller | Buyer/Negotiable |
| WEST VIRGINIA | Buyer | Buyer |
| WISCONSIN | Seller | Negotiable |
| WYOMING | Seller | Negotiable |
How to Use and Confirm this Information
Use this information only as a guide in determining buyer or seller closing costs when planning for your home purchase or sale. Keep in mind that some of these costs may change from county to county, depending on the custom in each county. For more information, you can call a title insurance company in your area and ask them to tell you who typically pays for these expenses in your area or talk to a real estate attorney in your community. Frequently, most real estate sales agents and brokers are also quite knowledgeable on the issue of who pays for what when it comes to some of these expenses.
You should also know that title insurance costs vary from state to state. For example, in some states, the owner’s title insurance policy on a $100,000 home may cost $1,500 and that same policy in a different state may cost two or three times that amount. Furthermore, title insurance fees seem to multiply if you are buying a home and you have a lender involved. With a lender, buyer closing costs can mushroom by including a lender’s title insurance policy along with “required” endorsements.
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I am thinking of selling a home in Florida.
Could you please tell me who is responsible for the survey of the property in Fl? Bringing electrical up to code. If you as the buyer want to have it rezoned.
I am sure the laws are probably different in Fl than they are in Mi.
Survey in FL is paid by Buyer. Bringing electrical up to code is usually done by Seller prior to the closing. Rezoning is the responsibility of the Buyer whether before or after closing. Of course, everything is negotiable as long as Buyer and Seller agree on it.
“State by state…” and yet at least 6 states are missing from the list. Any state that starts with V or W is oddly missing. Sadly, I live in one of those states so this article is useless.
John,
You’re right. I’ll try to add them to the list soon.
Sam
Hey – we still would love to see what you are able to share about the V and W states 🙂
I intent to cose a new home from builder at pensilvania state let me know buyers cost to be involved at closing
Title home insurance (I presume seller give clear warrant title insurance)
Let me clarify
Home owners title insurace who pay the cost seller or buyer
Survey
What are other things buyer pay
Let me clarify thanks
I AM a resident of Florida and have a home in Ohio. I won’ to sell the ohio home what costs ate involved
State insurance board need to change the rules. I am not buying the house so why should I buy title insurance? It is a scam.
when I bought my home in Florida, the seller paid the Title Insurance. Now I am buying a house in S.C and I have to pay for the Title Insurance. As a buyer, I should be able to see that there are no liens against the property, etc. I think this is quite unfair to the buyer.
I have a plot survey 17 yrs old. Nothing has changed on the property. Why do I need a new one.
What happened to the V and W states? Sure would love to see that.
Michael, we’re planning an update of this story shortly and will be sure to include all states. Thanks for your comment. Happy 2017. Ilyce
Michael, I updated the story to include these states. In our migration to the new format, the states dropped out. Sorry.
Sam
I don’t see Georgia on this list
Who made up these rules as to who pays State by State? Is it codified in Law?
Not everything about real estate is codified in regulations or in law. Mostly, you have tradition. So if tradition dictates that the seller pays for X, Y, and Z and the buyers pays for A, B, and C, and that’s how it’s been done for 75 years, then that’s what everyone will expect.
You could break with tradition, but you might meet with resistance. If you’re a buyer in 2017, and you’re in a hot buyer’s market (where there aren’t enough homes compared with the number of buyers who want to purchase them, you’re hardly in a position to dictate.
So local housing market tradition coupled with the local state of the market dictates how closing costs get paid.
Thanks for your question, and for stopping by ThinkGlink.com.
If selling a lot of land with no home on it, to the person who lives next to the land… Would there be a need for any sort of survey or any costs at all for that matter? (in Mississippi)
Mike:
You’d probably want to have a survey done because then everyone knows exactly what is being sold. If I were the buyer, I’d want a survey showing what I’m buying. Really, you’re discussing who is going to pay for it. Surveys generally cost less than $500 and it’s probably worthwhile to share the cost, unless customarily one side or the other provides it in your area. Good luck!
I am selling house in Michigan.
Who will pay title insurance and survey cost. What other cost I should expect to pay . Roughly how much will be the cost for the house cost $450,000
Really appreciate your help.
Thanks
I’m purchasing a home in Florida, can you tell me who typically pays for the Title Insurance?
Living in NC and bought a new house, it was a spec home. Is the builder responsible for showing where the property line should be?
is this list up to date?
Ricky,
We’re about to update with more current buyer closing costs. Stay tuned. Thanks,
Ilyce Glink
Ok great, but is the owner’s title insurance customary responsibility per state (i.e. if buyer or seller pays) section up to date?
I have been in Real Estate all my adult life in CA. I was an Escrow Officer and my husband is the President of a Title and Escrow Company never ever have I seen a buyer pay for a survey. Sellers have the corners shot prior to the sell of their property. Many do not get a survey prior to selling their property. It really depends on which type is being sold. Most unimproved property the seller has to show the corner markers to the buyers but many home owners furnish the plot map copy and not an actual survey.
[…] Seller and buyer closing costs State By State – ThinkGlink – Seller and buyer closing costs can really add up. High seller closing costs and fees can cut into the profit a seller is expecting to pocket from the sale of his or her home or increase the amount of money the seller needs to come to the closing if the seller owes more money on his mortgages than the amount he or she will net from the sale of the home. […]
[…] Seller and Buyer Closing Costs State By State – ThinkGlink – Seller and buyer closing costs can really add up. High seller closing costs and fees can cut into the profit a seller is expecting to pocket from the sale of his or her home or increase the amount of money the seller needs to come to the closing if the seller owes more money on his mortgages than the amount he or she will net from the sale of the home. […]
“An owner’s title insurance policy insures the new buyer of the home against title insurance problems and issues.” This is particularly true when it involves newlywed couples and/or new families, and understanding first how the policy affects their lives financially would be a very good idea.
My husband and I feel cheated by the closing agency. In March of this year we bought a house in Florida and today we are selling the old one. Both house in the same county. When were closing on the new house we paid most of the fees, The seller paid only State Tax Stamp deed, real estate commission, and title owner. We paid the rest. Today we as sellers were presented with fees to pay that we paid as buyer 3,5 months ago. We did not agree participate in buyer’s closing costs. We feel extremely cheated and I can’t believe what was done to us is legal.