Posted by Chris on January 27, 2000 at 13:12:24:
Clause in addendum:
“Seller to pay all non-recurring closing costs.”
Closing Costs: The numerous expenses which buyers and sellers normally incur to complete a transaction in the transfer of ownership of real estate. These costs are in addition to price of the property and are items prepaid at or before the closing day. Non-Recurring Closing Costs are items such as appraisal, credit report, processing fees, origination fees, transfer taxes, points, etc., which are paid on a one-time basis. Recurring Closing Costs (also known as pre-paids) include such items as property taxes, hazard insurance and may include pre-paid interest or Private Mortgage Insurance premiums. Total costs and the method by which they are split between the buyer and seller depend upon local custom, jurisdiction and agreements stipulated in the purchase contract.