Once you have put the offer in on the dream home that you so desperately want, and the deal has been accepting. Now it is time for the closing or the settlement. The closing utilizes a number of people including the buyer, the seller, the real estate agent, the lawyer, escrow agent, mortgage lender and title company. All of which are necessary in order to complete the deal.

The process works with a variety of documents that will need the buyer's signature. This is also the time in which the buyer will have to deal with the title insurance, insurance and escrow, which will only have its own fees that are usually three to five percent of the closing price. However, these fees are negotiable. These costs may be paid by you upfront or are included in the loan. There are a number of estimates available for just what the closing fees will cost. For example:

-Application 250.00 -Appraisal 300.00 -Attorney Fees 300.00 -Credit Report 25.00 -Document preparation 150.00 -Escrow 735.00 -Fire Insurance 300.00 -Flood certificate 20.00 -Home Insurance 300.00

There are numerous other fees that all in all should total around $9,165.00. However, this will vary according to which lender that you use. In the even that your down payment is less than 20% or you are what they consider a high credit risk, then you may be asked to set up an escrow account. With this a small percentage of your mortgage is set aside every month to cover the costs of insurance and private mortgage insurance, which covers the lender should you miss payments. Points are something that many people wonder if they should use or not. Points are used to reduce the amount of interest that is on the loan. One point basically equals 1% of the loan, and this percentage goes to the lender at the time of closing.