Ask The Experts

Coltyn Bettis & James Lanier- United Country Midwest Lifestyle Properties

Lowering closing costs can help you save a significant amount of money when purchasing a property. Here are three out-of-the-box ways to potentially reduce your closing costs:

First, closing cost assistance programs: Research and inquire about closing cost assistance programs available in your area. These programs, often offered by local or state government agencies, nonprofits, or lenders, provide financial aid specifically for covering closing costs. Eligibility criteria may vary, but they can be a valuable resource to help lower your closing costs.

Second, alternative lenders or mortgage brokers: Consider researching non-traditional lenders or mortgage brokers who may offer more competitive rates and reduced closing costs.

Third, negotiate with the seller: Negotiate with the seller to cover a portion of the closing costs. This approach may require effective communication and a mutually beneficial agreement between you and the seller.

Remember, it's important to consult with professionals to explore the best options for your specific situation, taking into account factors such as location, property type, and market conditions.

Lydia Hone- Real Estate Agent and Property Manager- Coulee Real Estate & Property Management

If you are looking to buy or sell your home, closing costs can take you be surprise! However, there may be some things that you can do to get your closing costs lowered. It’s important to remember that closing costs can be anywhere from 2-5% of the sale price of a home. As a real-estate professional it is my job to ensure that my clients are informed on how to get the best bang for their buck!

As a buyer the big negotiable items when dealing with closing costs are loan origination costs, home owners insurance, and buyer’s agent fees. So, be sure that you shop around to find the best price and coverage for you. Not all agents charge a buyer’s agent fee, be sure to ask the agent you are looking to work with if there are any fees associated with them working for you.

As a buyer, another great option to make closing more affordable is to ask for seller concessions to cover your closing costs. This is typically negotiated through the offer you make on a home with the help of your real estate agent. For government loans up to 3% of the loan amount can be asked for back at closing to cover costs, and for conventional loans, that number goes up to 6%!

As a seller the largest area where you can negotiate the cost to close is going to be commission to your selling agent. Commission is negotiable! Make sure that when you are interviewing agents to sell your home, ask what their plan is, what are they offering you? How are they going to get you the most value for your home? And always remember that you can negotiate with agents.

Mary Schleicher- Hometown Real Estate Owner/ Broker

Tips for reducing closing costs

Shop around for a lender by comparing and negotiating lender fees. Your lender is required to produce an itemize estimate of your closing costs in the three-page Loan Estimate" form within three days after you apply for a mortgage, but you can ask them to produce an estimate when you first ask for a loan qualifica­tion letter. Do some comparison shopping.

A seller may consider contributing toward your closing costs; but this may not be possible in a hot market. You might want to be prepared to add the seller's contribution to the sale price.

Try to close at the end of the month. If you close at the beginning of the month, you pay the per diem interest for each day until the last day of the month. If you close at the end of the month, you eliminate that amount from your closing costs.

If you qualify for a Rural Development mortgage or a VA loan, you can avoid the down payment entirely and some of the closing costs can be rolled into the mortgage. There are also other loans that require less money down. Don't be afraid to ask lenders what programs they offer.

ASK QUESTIONS! You can reduce the charges you pay by asking questions and by comparing lenders.

1^st CCU Mortgage Team

Yes, there are ways to lower your closing costs. Closing Costs include items such as the appraisal, title work, flood certification, credit report fees and recording fees. These items are generally standard charges. You may also see processing, underwriting and points fees. (Points are a percentage of the loan amount for example 1-point equals 1%) These can vary from lender to lender. Local lenders tend to have lower closing costs than brokers and national lending companies. It is usually beneficial to work with a local financial.

If you prefer, it is possible to negotiate with your seller to have them pay some or all of your closing costs. Please work with your realtor to help you write this in your offer to purchase.