AVERAGE CLOSING COSTS FOR TAMPA BUYERS: 5 COMMON COSTS TO EXPECT

By Corrie Forcet, Realtor® | The Forcet Group | KW Suburban Tampa

Budgeting for buying a home can seem daunting in today's market. One of the best ways to avoid frustration is to figure out and budget for the average closing costs for buyer hopefuls. There are various service charges bundled together to make up closing costs, and some can vary significantly based on location and specific property. Here are 5 common closings costs to anticipate for Florida home buyers.

Home Inspection Fee

Home inspection fees typically cost a few hundred dollars. They cover the optional – but important – official property inspection by a licensed professional before closing. While technically not always required by lenders or buyers, home inspections can help you identify major issues or repair needs before buying a home.

Appraisal Fees

Appraisal fees are paid to the professional home appraiser to determine the value of the property. These fees often range from $400 to $500, though the cost can vary depending on location and the size of the home.

Title Search

Before a buyer can take over the title for the new home, it has to be examined carefully for any evidence of prior issues. Examples of issues a title search looks for include liens, unpaid property taxes, or unfulfilled contingencies. Typically, the fee for a title search will cost around $400 to $500.

Homeowner's Insurance

Although paid at the same time as closing, prepaid costs like your homeowner's premium are not the same as closing costs. However, the buyer is generally expected to pay the first year's premium in total. So it would be wise to budget for this anticipated expense in addition to closing costs.

Documentary Stamp Tax

Documentary stamp tax is an excise tax imposed on certain documents executed, delivered, or recorded in Florida. Documentary stamp tax is due at closing. The tax rate, as of July 2022 is $. 35 per $100. So for a $350,000 home, the Doc Stamp Tax would be $1,225.

These are not all the possible closing costs associated with buying a home. However, they are some of the most common in our area and the easiest to budget for. Remember these fees when planning a budget for your homebuying adventure!