Profile picture for websurf

Plan to buy home for cash Glendale AZ $200,000 what kind of closing costs can I expect to pay ?

Trying to plan move from NY to  AZ if I'm paying cash [200,000] what will closing cost me . Also when shopping for house what do I need from bank to prove I have the funds to close?
  • June 18 2009 - Peoria
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

 
 

Answers (4)

Best Answer

It is a rule of thumb that you will need at least 3% for "closing costs" which can vary depending on the fees charged and what contributions made by your lender/mortgage broker, RE Agent, and/or Seller.

While you are paying cash, your closing costs while be around 1%-1.5% which will consist of your Escrow Fee, Title Policy Endorsement Upgrade, Taxes, Recording Fees, and Appraisal.

What you will need when making an offer is a "Letter of Available Funds" from your banking institute.  You will have to tell them what amount because they will not disclose this on a general letter.

If you choose to finance, your down payment will be 4% - 20% depending on the loan in which you obtain whether FHA or Conventional.  I mentioned the financing because you can make use of your monies to better suit your income ratio value and asset positioning.  If you utilize your cash to puchase several investment properties for $25-$30K as mentioned by Daniel, you Income Ration (DTI) is lowered because you have income to your normal income.  FYI, there is a condo property located in Phoenix that has unit you can rent out for $750-$800 easy.  At minimum that can be an additional $1000 a month with two units.

Good Luck on your search and if any of us here within the Zillow Realty Community can be of assistance, please do not hesitate to ask.
  • June 22 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Are you paying cash or getting a home loan?

  • December 15 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

why AZ?
  • June 18 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

First off, it would be in your best interest to buy as many 30k sfr's as possible. If you have cash, you can easily buy 6 possible 7 of these homes. They all net about 500 per month in rent. That's 3k in income. Compare that with any SFR you could possible buy in Glendale. You'll be lucky if you can get 1400 per month in rent. If you're buying this as a Primary Residence, then you're closing costs will be about 1500.
  • June 18 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.