Closing Costs for Seller Financing?

Question

Hi there - NEWBIE here.... I am in early discussions with sellers about a seller finance deal near Portland, OR.  As I am considering my offer, I am trying to understand how much to budget for attorney, title/closing costs etc?  Appreciate if anyone can provide a rundown of costs to expect with this type of transaction? TIA!

Chris Watkins · Answer

Here are title cost numbers from my last deal in Lake Oswego ($625k sales price):

Title agent fee: $1100

Owner's title policy: $1425

Recording fee: $350

MERS: $25

There may be transfer taxes depending on what county the property is in, as well.

Chris

Tanarat Bunchom · Answer

Congrats on exploring a seller finance deal—exciting step! For costs, you’ll typically need to budget for title insurance (usually around 0.5%-1% of the purchase price), attorney fees (varies but can range from $500-$2,000 depending on the complexity), and closing costs (might include recording fees, escrow fees, and other admin costs—generally $500-$2,000). It’s always a good idea to consult a local real estate attorney and title company for more accurate estimates in your area. Good luck!

Malcomb Stapel · Answer

Just call a local title company, find one with good reviews, and ask them to give you an idea of the fees.

Chris Seveney · Answer

@Kay S.

Assuming you are getting title insurance (which I recommend) the closing costs will be similar to a traditional closing. Also depends if you are getting appraisal and what attorney charges for creating loan docs

Kay S. · Answer

Thank you ! super helpful!

Closing Costs for Seller Financing?

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