Closing costs and pre-paids: what’s the difference?

Of all the expenses that come with buying your Atlanta home, prepaid costs can sometimes take buyers by surprise. (And while we all love a good surprise, you definitely don't want one in the buying process!).

So, here's what to know:

👉 Prepaid costs are upfront cash payments you make at closing for various mortgage expenses before they’re actually due. Funds are held in escrow until needed.

They include:

• Initial escrow deposit, also called earnest money here in Georgia

• Homeowner’s insurance premiums

• Real estate property taxes

• Mortgage interest

👉 Prepaids are separate from closing costs which include the title search, appraisal, and cost of processing the loan.

Curious about what your bottom line would be if you purchased an Atlanta home?

Want to buy but don't want surprises?

Reach out, and let’s crunch the numbers!