Closing Costs and Their Impact on Condo Prices

This blog discusses the impact of closing costs on condo prices. Closing costs usually range between 3% and 5% of the purchase price, and they can be higher depending on various factors. Examples of closing costs include loan application fees, legal fees, appraisal fees, inspection fees, land transfer taxes, title insurance, and prepaid fees. The closing costs vary depending on the condition and location of the condo and are performed by third parties with different prices. To minimize the amount charged, it is advisable to cap closing costs whenever possible. When purchasing a pre-construction condo, be aware that the closing costs are increasing annually. The most expensive and common closing costs for pre-construction condos are land transfer taxes, development charges, and legal fees. It is crucial to keep closing costs in mind and set aside enough capital to make the purchase.