Wondering what closing costs actually look like when you buy or sell a home in Egg Harbor Township? You are not alone. Between state fees, lender charges, and local taxes, it can feel hard to pin down your bottom line. This guide walks you through typical buyer and seller costs in New Jersey, highlights Egg Harbor Township and Atlantic County specifics, and gives you simple examples so you can budget with confidence. Let’s dive in.
How closing costs work in New Jersey
Closing costs are the one-time expenses due at settlement. In New Jersey, many items are negotiable, but local custom sets expectations. Lenders must give buyers a Loan Estimate early and a Closing Disclosure before settlement, which outline your costs in detail. You can review these documents using the Consumer Financial Protection Bureau’s guidance on the Loan Estimate and Closing Disclosure.
New Jersey has a state Realty Transfer Fee that is calculated using a tiered schedule. It is traditionally paid by the seller unless the contract states otherwise. For the official rules and current fee table, use the NJ Division of Taxation’s guidance.
Buyer closing costs in Egg Harbor Township
Typical buyer closing costs for financed purchases often total about 2 to 5 percent of the purchase price, plus smaller third-party items. Your exact number depends on your loan program, lender, and the closing date.
Common buyer line items
- Lender fees and points: often 0 to 1 percent of the loan amount.
- Appraisal: usually $300 to $800 or more, depending on property type and complexity.
- Credit report and underwriting: typically a small lender charge.
- Title-related costs: lender’s title insurance policy and loan title search. Amount varies with loan size and insurer rate tables.
- Settlement or escrow fee: often a few hundred dollars, depending on the closing agent.
- Inspections as needed: termite or pest, flood certification, survey. Each can add several hundred dollars.
Prepaids and escrow deposits
- Prepaid interest: covers interest from the closing date to your first payment.
- Property tax and homeowner’s insurance escrows: lenders commonly collect 2 to 6 months of taxes and insurance to start your escrow account.
Local factors to consider
- Recording fees: Buyers usually pay for recording the mortgage. For precise amounts, refer to the Atlantic County Clerk’s recording information.
- Flood zones and insurance: Parts of Egg Harbor Township are near tidal areas. If the property is in a Special Flood Hazard Area, your lender will require flood insurance. Check your address on the FEMA Flood Map Service Center and budget for premiums and escrow requirements.
- HOA or condo communities: Some associations charge transfer or document fees. Amounts vary by community and management company.
Seller closing costs in Egg Harbor Township
Sellers typically cover the largest single cost at closing: real estate broker commission. Many sellers also pay the New Jersey Realty Transfer Fee, prorated property taxes, and their side of the closing or attorney fees.
Common seller line items
- Broker commission: often 5 to 6 percent of the sale price in total. The exact percentage is negotiable and market driven.
- New Jersey Realty Transfer Fee: tiered by price and traditionally paid by the seller. Use the NJ Division of Taxation’s page to look up the exact amount for your sale price.
- Attorney or closing agent fees: often $500 to $2,500 or more, depending on complexity.
- Title-related items: in some New Jersey markets, sellers purchase the owner’s title insurance policy for the buyer. Practices vary by county and are negotiable.
- Municipal or county charges: payoff preparation, deed release recording, and any outstanding local assessments or utility balances.
- Prorated property taxes: you pay your share up to the closing date. For tax context and contacts, start with the Atlantic County Board of Taxation.
How property tax proration works
At closing, taxes are split between buyer and seller based on the closing date and the local tax cycle. The settlement agent uses the most recent bills and municipal rates to compute the exact dollar amount. Because New Jersey property tax bills can be substantial, this proration can be a meaningful line item on both sides.
Who pays title insurance in NJ
There is no single statewide rule. In many New Jersey transactions, sellers purchase the owner’s title policy and buyers purchase the lender’s policy if they are financing. In other markets, buyers purchase both. Ask your agent or title company what is customary in Egg Harbor Township and negotiate in your contract.
Illustrative examples at three price points
The numbers below are examples to show scale. Your actual fees will vary based on your contract, lender, and the official New Jersey Realty Transfer Fee table.
Example 1: $250,000 purchase price
- Seller
- Commission at 5.5 percent: $13,750
- Attorney or closing fee: about $1,200
- Realty Transfer Fee: see NJ Division of Taxation
- Prorated taxes and loan payoff: variable
- Buyer
- Closing costs at about 3 percent: $7,500
- Appraisal: about $400
- Initial escrow deposits: example $1,500
Example 2: $425,000 purchase price
- Seller
- Commission at 5.5 percent: $23,375
- Attorney or closing fee: $1,200 to $2,000
- Realty Transfer Fee: see NJ Division of Taxation
- Prorated taxes and payoff: variable
- Buyer
- Closing costs at 2 to 4 percent: $8,500 to $17,000
- Appraisal, survey, inspections combined: $800 to $1,400
Example 3: $800,000 purchase price
- Seller
- Commission at 5.5 percent: $44,000
- Realty Transfer Fee: use NJ tiered schedule
- Attorney or closing fee: may be higher for complex deals
- Prorated taxes: larger in absolute dollars
- Buyer
- Closing costs at 2 to 5 percent: $16,000 to $40,000
Quick estimators you can use
Use these simple inputs to sketch your budget. Your settlement agent or lender can refine the numbers.
Seller net proceeds estimator
Inputs:
- Sale price
- Outstanding mortgage payoff
- Commission percent (example default 5.5 percent)
- Seller-side closing fees (example default $1,500)
- Realty Transfer Fee from the NJ table
- Prorated taxes and other adjustments
Formula:
- Net Proceeds = Sale Price
- (Commission Percent × Sale Price)
- Mortgage Payoff
- Seller Closing Fees
- NJ Realty Transfer Fee
- Prorated Taxes or Credits
- Any Seller Concessions or Repairs
Buyer cash-to-close estimator
Inputs:
- Purchase price and down payment
- Buyer closing costs percent (example default 3 percent, editable)
- Prepaids and initial escrow deposits (example default $1,500)
- Lender fees or points
- HOA or condo transfer fees if applicable
Formula:
- Cash to Close = Down Payment
- (Closing Costs Percent × Purchase Price)
- Prepaids and Escrow Deposits
- Lender Fees or Points
- HOA or Condo Fees
You can also estimate principal and interest by applying the standard mortgage formula to your loan amount, interest rate, and term. Your lender can provide exact monthly payments and your full Closing Disclosure.
Tips to keep costs predictable
- Ask your agent and attorney for an itemized seller net sheet several weeks before closing.
- As a buyer, compare your Loan Estimate with your later Closing Disclosure and ask your lender to explain any changes.
- Confirm who pays for the owner’s title policy in your contract and ask for quotes early.
- If the home is near water, check flood zone status on FEMA’s map and get a flood insurance quote early.
- For recording fees and document requirements, use the Atlantic County Clerk’s resources.
- For the exact New Jersey Realty Transfer Fee on your sale price, use the NJ Division of Taxation’s guidance.
Ready to plan your numbers in Egg Harbor Township
Whether you are buying or selling, having a clear estimate reduces stress and helps you negotiate with confidence. If you would like a customized net sheet or a buyer cost breakdown tailored to your price point and neighborhood in Egg Harbor Township, reach out to The Scott Reighard Team for local guidance. Get your free home valuation.
FAQs
Who pays the New Jersey Realty Transfer Fee on a sale in Egg Harbor Township
- The fee is set by the State of New Jersey and is traditionally paid by the seller unless the contract states otherwise. For the current tiered table, see the NJ Division of Taxation.
How much are buyer closing costs for a financed home purchase in Egg Harbor Township
- A typical range is about 2 to 5 percent of the purchase price, plus smaller items like inspections and appraisal. Your Loan Estimate and Closing Disclosure will show your exact figures.
What are typical seller costs besides commission in Egg Harbor Township
- Sellers often pay the New Jersey Realty Transfer Fee, prorated taxes, seller-side attorney or settlement fees, and any negotiated repairs or concessions. Mortgage payoffs and lien releases are also settled at closing.
How are property taxes split between buyer and seller at closing in Atlantic County
- Taxes are prorated based on the closing date. The seller pays for the portion of the tax period they owned the property and the buyer pays the balance. For local tax contacts, start with the Atlantic County Board of Taxation.
Do I need flood insurance when buying in Egg Harbor Township
- If the home is in a Special Flood Hazard Area, lenders require flood insurance. Check the address on the FEMA Flood Map Service Center and consult your lender and insurer for quotes and escrow impacts.
