Seller Closing Costs in New Jersey

 

 

  1. Mortgage Payoff: If you have a mortgage, the payoff will likely be the biggest item on your closing statement. It includes items like the principal balance, interest accrued from the last payment to the day of closing, recording fee, and any statement fee the lender might charge.
  2. Real Estate Broker Commissions: The biggest expense for New Jersey home sellers is the broker/agent commission. In New Jersey, the typical commission is between 5-6% with generally half going to the listing agent and the other half to the buyer’s agent. The buyer’s agent commission is also called the Cooperating Agent Commission. 
  3. State, County, and City Transfer Taxes: This fee varies depending on the sale price — approximately 1% of the sale price or $3,300 on a $330,000 sale in New Jersey. This could drop to 0.05% if you are 62 or older, or a disabled veteran.
  4. Attorney Fees: Attorneys in New Jersey play an important part in the closing process, taking care of contracts and other essential paperwork. Typically, attorneys charge between $800 and $1,300 in fees, depending on the type of home being sold and the type of sale it is.

  5. Water Inspection: As a seller, it is important that you make sure the water has been tested before the turnover of your property. In New Jersey, it costs around $450 to $700 depending on the location. 
    1) Additional Certificates: Some towns in New Jersey require additional certificates such as the following
    2) Certificate of Occupancy: This is a verification that the property is suitable for occupancy and that it complies with all               housing and building codes. The fee ranges from $25 to $100.

  6. Smoke Detector Certificate/Carbon Monoxide Certificate: These documents certify that the property is equipped with smoke and/or carbon monoxide detectors and that these detectors are functioning. The fee ranges from $25 to $75. 

  7. HOA Dues, Document Fees, and Transfer Fees: If the property falls under a Homeowners Association, you may be subject to various other charges. These include HOA dues, a document fee at the beginning of Escrow, and a transfer fee at the end of Escrow.