Build a closing budget in actual dollars for the property and financing you are considering. Buyer costs vary with the loan, title work, prepaid items, association charges, and negotiated terms. Seller proceeds also depend on payoff amounts, compensation, transfer fees, and closing adjustments.
Buyer costs to request early
- Loan charges: origination, points if selected, appraisal, and other lender fees.
- Title and settlement: title search, lender and owner policy options, settlement services, recording, and any required survey.
- Professional services: attorney and inspection fees appropriate to the home.
- Prepaid and escrow amounts: interest, taxes, and insurance based on the loan and closing date.
- Association charges: any transfer, capital-contribution, move-in, or other applicable fees and deposits.
- Brokerage compensation: any amount you are responsible for under the written agreement and final transaction terms.
The down payment is separate from closing costs. Compare Loan Estimates for the same loan assumptions and review the final Closing Disclosure where applicable. Ask the closing team to explain which amounts are fees, deposits, prepayments, or adjustments.
Seller transfer-fee examples
These examples use New Jersey’s standard Realty Transfer Fee schedule and Graduated Percent Fee for a covered, nonexempt transfer. They exclude other selling expenses and any special treatment that could apply to the transaction.
| Sale price | Standard Realty Transfer Fee | Graduated Percent Fee |
|---|---|---|
| $800,000 | $7,305 | $0 |
| $1,500,000 | $15,625 | $15,000 |
| $3,000,000 | $33,775 | $75,000 |
The seller is statutorily responsible for these fees on applicable transfers. The Graduated Percent Fee rate applies to the full consideration. Confirm classification and exemptions with the attorney and settlement professionals.
Other items affecting the seller’s proceeds
Include negotiated brokerage compensation, attorney and settlement charges, mortgage payoff and discharge costs, required certificates, association charges, and closing adjustments. Some amounts depend on the closing date and contract. The seller net sheet calculator is a planning aid for entered assumptions.
Set the cost allocation in the contract
Discuss requested credits and cost allocation with your agent, attorney, and lender before relying on them. Loan programs can limit contributions. Your attorney should explain the applicable contract review and deadlines.
Plan the cash needed after closing
Keep moving expenses, immediate repairs, and reserves in the budget. Anthony can help organize a purchase comparison or seller net estimate around your address and timing.
Questions buyers and sellers ask
How much are closing costs for a buyer in New Jersey?
The amount depends on financing, title and settlement work, attorney and inspection fees, prepaid items, association charges, and agreed compensation. Obtain property-specific estimates and keep the down payment and post-closing reserves separate.
What does a seller pay at closing in New Jersey?
Costs can include negotiated compensation, attorney and settlement charges, applicable Realty Transfer and Graduated Percent Fees, association charges, and other transaction expenses. Payoffs and closing adjustments also affect proceeds.
What is attorney review in New Jersey?
For covered broker-prepared residential contracts, New Jersey generally provides a three-business-day attorney-review period measured from delivery of the signed contract to both buyer and seller. Saturdays, Sundays, and legal holidays are excluded, and a written extension is possible. The contract becomes binding at the end of the review period unless an attorney timely disapproves it. Ask your attorney to confirm the deadline and explain any disapproval or agreed changes.
References: New Jersey transfer-fee schedules · Attorney-review regulation
Written by Anthony Vetrano, Associate Broker, Hudson Agents team at Weichert, Realtors (Hoboken, NJ). NJ License #2076762.
Anthony works with buyers and sellers in Hoboken, Jersey City and surrounding Hudson County communities. View his transaction history and professional background.
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