Are you trying to budget your closing costs as you compare homes in Georgia and Miami Gardens? You are not alone. When you buy in South Florida, the mix of taxes, title practices, HOA fees, and insurance can look very different from what you saw in Georgia. In this guide, you will learn how buyer costs stack up in each state, what is customary in Miami‑Dade, and how to estimate your total cash to close with confidence. Let’s dive in.
Closing cost basics
What closing costs include
Closing costs are the fees and prepaid items you pay to complete your purchase beyond the price of the home. Common items include lender fees, appraisal, inspections, title search and insurance, recording and transfer taxes, prepaid insurance and property taxes, HOA estoppel or transfer fees, and escrow deposits.
Typical total range
For planning, many buyers use a range of about 2% to 5% of the purchase price. Your exact amount depends on your loan, the property, county requirements, and local customs about who pays which fees. Always rely on your lender’s Loan Estimate and the title company’s cost quote for specifics.
Georgia vs. Florida: key differences
Taxes and recording
- Florida charges documentary stamp taxes on deeds and an intangible tax on mortgages. By local custom, sellers often cover deed stamps and buyers often cover the mortgage intangible tax, but your contract controls.
- Miami‑Dade has county recording fees and specific procedures. Title companies can quote exact amounts for your address.
- Georgia uses different recording and transfer fee structures that vary by county and local practice.
Title and closing customs
- Both states require a lender’s title policy when you finance. Buyers typically pay for the lender’s policy.
- Owner’s title insurance is negotiable in both states. In many South Florida deals, including Miami‑Dade, sellers commonly pay the owner’s policy, but it is not universal.
- In Florida, title companies often act as the closing agent. In Georgia, closings may involve attorneys in some counties, which can change fee line items.
HOA and condo procedures
- Miami‑Dade has a high share of HOA and condo properties. Estoppel letters and transfer fees are common and time‑sensitive.
- Georgia associations also charge fees, but procedures and timelines depend on local bylaws and state rules.
Insurance and risk factors
- In coastal Miami‑Dade, homeowners insurance often includes wind or hurricane coverage. Flood insurance may be required depending on flood zone. These increase your prepaid costs and escrow deposits at closing.
- Many Georgia properties carry lower flood risk, especially inland, but premiums still vary by property.
Who usually pays what
Below is a quick reference. Customs vary by county and negotiation, so confirm in your contract and settlement statement.
- Loan fees and points: Buyer in both states if financing.
- Appraisal: Buyer in both states if financing.
- Inspections: Buyer in both states.
- Lender’s title insurance: Buyer in both states.
- Owner’s title insurance: Negotiable in both states. In many South Florida deals, sellers often pay; verify locally.
- Settlement/closing fee: Often split or seller‑paid in both states depending on custom; confirm locally.
- Recording and state taxes: Buyer often pays mortgage recording and any mortgage‑related taxes. Deed tax is often seller‑paid in Florida by custom; verify locally.
- Prepaid insurance, taxes, and escrow deposits: Buyer in both states.
- Flood and wind insurance: Property‑specific; more common and potentially higher cost in Miami‑Dade.
- HOA/condo estoppel and transfer fees: Common in Florida; amount and payer depend on contract and association rules.
- Survey and certificates: Buyer if required by lender or contract.
- Miscellaneous (wire, courier, notary): Buyer for buyer‑side items.
Estimate your total costs
Step 1: Gather official estimates
- Request a Loan Estimate from your lender within three business days of application. This outlines loan costs, prepaids, and your estimated cash to close.
- Ask the title company for a buyer’s cost estimate or sample settlement worksheet for your address in Miami‑Dade or your Georgia county.
Step 2: Build your worksheet
List each line item so nothing is missed:
- Loan fees: origination, underwriting, points, credit report.
- Appraisal fee.
- Inspections: home, pest, roof, HVAC, or other specialty.
- Title fees: lender’s policy, owner’s policy (negotiable), title search, settlement/escrow fee.
- Government items: county recording, deed or transfer taxes, mortgage intangible tax where applicable.
- Prepaids and prorations: homeowner’s insurance premium, property tax prorations, daily interest from closing to first payment, initial escrow deposits.
- HOA or condo: estoppel, transfer, application, move‑in fees.
- Other: survey, flood certification, wire, notary, courier.
Step 3: Add escrow reserves
If your loan escrows taxes and insurance, add the required initial deposits. Lenders often collect several months of taxes and insurance at closing.
Step 4: Add buffer and note negotiables
Add a 5% to 10% cushion for unknowns. Mark items you might negotiate, like seller credits, who pays owner’s title insurance, and whether you want a lender credit to reduce cash to close.
Step 5: Convert to a percent range
For quick planning, use these scenarios:
- Low: about 1% to 2% of price for simpler or cash purchases.
- Typical financed: about 2% to 5% of price.
- Higher: more than 5% if insurance, HOA fees, or special requirements are above average.
Step 6: Review the Closing Disclosure
At least three business days before closing, your lender will issue the Closing Disclosure. Compare it to your Loan Estimate and ask the title company to explain any differences.
Miami Gardens and Miami‑Dade buyer notes
- Plan for insurance early. Request quotes for homeowners, wind/hurricane, and flood if required. The upfront annual premium and initial escrow deposit can be meaningful parts of your cash to close.
- Expect HOA or condo estoppel and transfer fees on many properties. Ask the title company to request them early so you can budget accurately.
- Title customs often favor seller‑paid owner’s title insurance in South Florida, but confirm with your agent and title company for the neighborhood you are targeting.
- Recording and documentary requirements are specific in Miami‑Dade. Your title company can provide exact county fee schedules for your property.
Tips to reduce your closing costs
- Shop at least two to three lenders. Compare the full cost, not just the interest rate.
- Negotiate seller credits in your offer to offset buyer costs. Your loan type may cap allowable contributions.
- Consider lender credits in exchange for a slightly higher rate if cash to close is your priority.
- Ask the seller to pay the owner’s title policy or split settlement fees when local custom supports it.
- Lock insurance early and ask about wind mitigation credits and policy options that fit your risk and budget.
- For condos and HOAs, request estoppel and transfer fees early so you can plan and negotiate as needed.
Buying across Georgia and Florida does not have to mean guesswork. With a clear plan and local support, you can understand who pays what, anticipate Miami‑Dade’s unique fees and insurance needs, and bring the right amount to the closing table. If you want a personalized estimate and strategy for credits, title fees, and insurance planning, connect with Trinnette Robinson for a quick consult.
FAQs
How much will I pay in closing costs as a buyer?
- Plan for about 2% to 5% of the purchase price, then confirm exact numbers with your lender’s Loan Estimate and your title company’s cost quote.
Can a seller in Miami‑Dade pay my closing costs?
- Yes, seller credits can offset buyer costs if allowed by your loan program; the amount is negotiated in the contract.
Who usually pays for owner’s title insurance in South Florida?
- In many Miami‑Dade transactions the seller pays for the owner’s policy, but it is negotiable and must be written into your contract.
What state‑specific taxes affect Florida closings?
- Florida commonly includes documentary stamp taxes on deeds and an intangible tax on mortgages; who pays depends on local custom and your contract.
What documents should I expect before closing?
- You should receive a Loan Estimate soon after application and a Closing Disclosure at least three business days before closing with final costs and cash to close.
