What will you actually pay at the closing table in Towson? Whether you are buying your first condo near downtown Towson or selling a long-held home in Ruxton, understanding closing costs helps you plan and negotiate with confidence. You want clear numbers, not surprises, and a simple way to estimate your own bottom line. In this guide, you will see typical buyer and seller fees in Maryland, Towson-specific examples at common price points, and a step-by-step checklist to get precise figures for your situation. Let’s dive in.
Maryland closing costs at a glance
Closing costs are the one-time fees and prepaids due when you buy or sell a home. For buyers in Maryland, a common guideline is about 2% to 5% of the purchase price, excluding your down payment and escrowed items. For sellers, total costs often land around 6% to 9% of the sale price, where commission makes up the largest share and other closing items add roughly 1% to 3%.
Final amounts depend on loan type, title fees, transfer taxes, and what you negotiate in the contract. Your lender and title company will provide itemized estimates so you can compare and confirm.
Who pays what in Towson
Buyer costs
- Lender charges
- Loan origination or processing fee, often 0.5% to 1.0% of the loan amount or a flat fee.
- Optional discount points, where one point equals 1% of the loan amount.
- Underwriting, credit report, and application fees, often $50 to $500 combined.
- Appraisal fee
- Typically $350 to $700, based on property complexity.
- Inspections
- General home inspection usually $300 to $600. Specialized inspections like radon or roof are additional.
- Title and settlement
- Lender’s title insurance policy is commonly a buyer charge and varies with loan amount.
- Settlement or escrow fee typically $300 to $1,000.
- Owner’s title policy is negotiable and varies by local custom.
- Recording and taxes
- County recording fees are modest flat amounts that depend on document type.
- Transfer and recordation taxes are allocated by contract and local practice.
- Prepaid items and escrows
- Initial escrow deposits for property taxes and insurance plus daily interest from closing date to month end. Amounts depend on timing and tax schedule.
- Loan program fees
- FHA upfront mortgage insurance, VA funding fee, or private mortgage insurance if applicable.
Seller costs
- Real estate commission
- Commonly 5% to 6% of the sale price, split between listing and buyer representation.
- Title and settlement
- Owner’s title insurance premium is often seller-paid in parts of the Mid-Atlantic, but this is contract-dependent in Maryland.
- Seller-side settlement or document fees are typically several hundred dollars.
- Transfer and recordation taxes
- Frequently a seller responsibility in some areas, though allocation in Baltimore County can vary. Confirm in the contract and with your title company.
- Mortgage payoff and prorations
- Payoff of existing loans comes from sale proceeds. Taxes and HOA dues are prorated to the closing date.
Shared or negotiable items
- Owner’s title insurance premium can be paid by seller, buyer, or split, depending on the contract.
- Transfer and recordation taxes may be split or reassigned by agreement.
- Repairs or credits after inspection are negotiable and can offset buyer cash to close.
Towson examples: buyer cash to close
These quick estimates focus on closing costs only. Your total cash to close equals down payment plus closing costs plus prepaid escrows.
Example at $300,000
- Buyer closing cost rule of thumb
- Low estimate at 2%: about $6,000
- Mid estimate at 3.5%: about $10,500
- High estimate at 5%: about $15,000
- Typical line items inside those totals
- Lender fees and points: roughly $2,000 to $6,000 depending on program and rate choice.
- Title and settlement: about $1,000 to $2,500 combined.
- Appraisal: about $350 to $700.
- Inspections: about $300 to $600 for a general inspection, plus any specialized checks.
- Escrows and prepaids: varies by closing date and tax cycle.
Example at $450,000
- Buyer closing cost range at 2% to 5%
- Low estimate: about $9,000
- High estimate: about $22,500
- If you put 5% down
- Down payment: $22,500
- Closing costs: about $9,000 to $22,500
- Prepaid escrows: lender will quote required months of taxes and insurance.
Example at $600,000
- Buyer closing cost range at 2% to 5%
- Low estimate: about $12,000
- High estimate: about $30,000
- Expect similar line items and ranges, scaled to the loan amount and title premiums.
Towson examples: seller net proceeds
Below are simple scenarios using a 5.5% commission and 1.5% for other seller costs, which totals about 7%. Your figures may be higher or lower based on your agreement and title fees.
- $300,000 sale price
- Estimated total seller costs at 7%: about $21,000
- Net before loan payoff: about $279,000
- $450,000 sale price
- Estimated total seller costs at 7%: about $31,500
- Net before loan payoff: about $418,500
- $600,000 sale price
- Estimated total seller costs at 7%: about $42,000
- Net before loan payoff: about $558,000
Remember that mortgage payoff, prorations, and any agreed credits will change your final proceeds. Ask for a seller net sheet early so you can plan with clarity.
Local factors in Baltimore County
- Property tax timing and escrows
- Property taxes affect buyer escrows and seller prorations. Your lender and title company will quote exact amounts based on the closing date and current tax bill.
- HOA and condo fees
- Towson has many condos and townhomes. Association transfer, estoppel, and capital contribution fees vary by community and can be due at closing.
- Transfer and recordation taxes
- Allocation is set by the contract and local custom. Confirm who pays what with your title company and agent.
- Title insurance custom
- In parts of the Mid-Atlantic the seller often pays the owner’s title policy, but Maryland practice varies. Clarify this before you write the contract.
- Recording fees
- Recording charges for the deed and deed of trust are modest but specific to the county schedule. Your title company will include these on your estimate.
Estimate your own costs
Follow this simple process to get accurate numbers for your Towson purchase or sale.
Step 1: Gather basics
- Price or expected offer
- Down payment percent and loan type
- Property type and any HOA or condo dues
- Target closing date
Step 2: Request official estimates
- Buyers: ask your lender for the Loan Estimate within 3 business days of application. It outlines your closing costs and prepaids.
- Ask a local title company for a preliminary title and settlement estimate for Baltimore County, including transfer and recording items.
Step 3: Use quick formulas
- Buyer closing costs estimate
- Purchase price multiplied by 2% to 5%.
- Seller closing costs estimate
- Commission percent plus 1% to 3% for other items, often totaling about 6% to 9%.
- Buyer cash to close
- Down payment plus buyer closing costs plus initial escrow deposit.
Step 4: Confirm local taxes and fees
- Check the latest Baltimore County property tax bill and ask your title company to confirm transfer and recordation items for your address.
- For condos or townhomes, request the association’s transfer, estoppel, and capital contribution schedule.
Step 5: Finalize with disclosures
- Sellers: request a seller net sheet from your listing agent to see projected proceeds after all costs and payoff.
- Buyers: review your Closing Disclosure at least 3 business days before settlement and compare it to your Loan Estimate. Ask about any material changes right away.
Quick documents checklist
- Lender’s Loan Estimate (buyer)
- Preliminary title and settlement estimate
- Seller net sheet (seller)
- HOA or condo transfer and fee schedule, if applicable
- Baltimore County property tax bill
- Mortgage payoff statement, if selling
Ready for precise numbers?
You deserve a clear, local picture before you make your next move in Towson. If you want a custom buyer cash-to-close worksheet or a detailed seller net sheet based on your exact property, connect with Elise Brennan. You will get tailored guidance, local insight, and a plan that supports your goals.
FAQs
What are typical buyer closing costs in Towson, Maryland?
- A common guideline is 2% to 5% of the purchase price, excluding your down payment. Your exact amount depends on loan program, title fees, transfer taxes, and prepaid escrows.
How much do sellers usually pay in closing costs in Towson?
- Many sellers plan for about 6% to 9% of the sale price. Commission is often the largest portion, with another 1% to 3% for title, taxes, and settlement items, plus any agreed credits.
Who pays transfer and recordation taxes in Baltimore County?
- Allocation is set by the contract and local custom. In some cases the seller pays, but costs can be split or shifted by agreement. Confirm with your title company.
Is the owner’s title insurance policy buyer or seller paid in Maryland?
- It is negotiable. In parts of the Mid-Atlantic the seller often pays the owner’s policy, but practice varies within Maryland. Clarify this in your contract.
What do appraisal and home inspection typically cost near Towson?
- Appraisals are often $350 to $700 for a standard single-family home. A general home inspection is commonly $300 to $600, with specialized inspections extra.
When will I receive the Closing Disclosure as a buyer?
- You should receive it at least 3 business days before closing. Compare it to your Loan Estimate and ask your lender to explain any material differences.
How can I estimate my cash to close if I am putting 5% down?
- Start with your down payment at 5% of the price, add a buyer closing cost estimate at 2% to 5%, then add initial escrow deposits for taxes and insurance that your lender requires.
