Who pays legal fees in a real estate transaction?
Darice Veiga's Answer
Quick Answer
In Massachusetts, each party typically covers their own legal fees and closing costs which vary based on transaction specifics.
Key risks of waiting too long
Potential Risk
Buyers may underestimate total closing costs.
Potential Risk
Sellers could face unexpected expenses not accounted for in initial estimates.
Potential Risk
Specific costs may vary significantly depending on transaction terms.
Potential Risk
Financing options could lead to additional hidden fees.
Full Transcript
Below is an AI-generated transcript of the video answer.
In Massachusetts, each party generally pays their own legal fees and closing costs.
For buyers, closing costs may include, but are not limited to, the down payment, lender and title charges, recording fees, prepaid taxes and insurance, escrow deposits, and other charges shown on the Closing Disclosure. Some lender related amounts may be financed or net funded.
For sellers, closing costs may include, but are not limited to, attorney’s fees, broker commissions, transfer taxes, mortgage or lien payoffs, municipal charges, prorations, and other transaction specific expenses.
The exact charges vary depending on the property, financing, and terms of the transaction.