Closing Costs in Hawaii

 

Ready to purchase your new home in Hawaii? Here are some costs to consider:

- Escrow fee (in Hawaii it is split evenly between the buyer and the seller) and the cost varies;
- Home inspection (J1): Professional home inspection is optional and the cost varies based on the type of property, size, location, etc.
- Termite inspection (L2): around $400. It is optional and the seller usually pays for it.
- Homeowner’s insurance: cost varies. You are usually required to pay the entire first year’s insurance premiums at closing.
- 40% of the premium for standard coverage title insurance and any additional costs relating to the issuance of an extended coverage policy (including a lender's policy)
- Home warranty: cost varies. Also optional, a home warranty usually covers such items as the major appliances, should they break down within a specific time.
- Notary fees (to make the document signatures legal), Recording fees, Title insurance
- Condominium and Association ownership transfer fees.

If you are applying for a mortgage:
- Appraisal fee: The property being appraised is collateral for your mortgage so the lender will want to verify that the property’s value is comparable to the similar property based on recent sales in your area. The cost varies- it may be between $700- $1000.
- Loan Origination Fee: cost varies. This is also called "points." Typically, the more you pay in points, the lower the interest rate. 
- Mortgage broker fee, Underwriting fee (the cost of putting the loan together).
- Mortgage insurance: cost varies. Some first-time homebuyer programs still require the first-year mortgage insurance premium to be paid in advance.
- VA funding fee: cost varies. This is paid to the Veterans Administration for guaranteeing your loan.

Questions? Call me at 808-783-6333.

Aloha 🌺