Staring at a long list of closing fees and wondering what really applies in Greenwich? You are not alone. When you are buying or selling in a high-value market, understanding who pays what and how much to budget can save you stress, time, and money. This guide breaks down typical buyer and seller closing costs in Greenwich, gives realistic ranges and examples at $1 million and $3 million, and outlines the exact steps and timelines so you can plan with confidence. Let’s dive in.
Closing costs in Greenwich: overview
Closing costs are the one-time expenses you pay to complete a real estate transaction. They cover services like your appraisal, title work, legal representation, and recording fees, plus prorations and prepaids for taxes and insurance. Some items are customary for buyers, others for sellers, and several can be negotiated. In Greenwich, attorney involvement on both sides is common, and luxury properties can add specialized inspections and title work.
Who pays what: local norms
While every contract is negotiable, Greenwich and broader Fairfield County follow clear patterns.
Buyers typically pay
- Loan-related fees such as origination, underwriting, and points if you choose to buy down the rate.
- Appraisal ordered by the lender.
- Home inspections and any specialty inspections you elect.
- Title work tied to the mortgage and the lender’s title insurance policy.
- Recording fees for the mortgage documents.
- Prepaid items, including homeowners insurance and initial tax and insurance escrows.
- Buyer’s attorney fees and buyer-side settlement charges.
- HOA transfer fees in some communities, depending on association rules.
Sellers typically pay
- Real estate broker commission, customarily the largest line item and paid by the seller.
- Payoff of any existing mortgage or liens, plus the cost to record releases.
- Prorated property taxes, HOA dues, and utilities through the day of closing.
- Seller’s attorney fees and any seller-side settlement charges.
- Repairs you agreed to after inspections or credits negotiated at closing.
- Deed preparation and deed recording fees, subject to local practice and the purchase agreement.
Note: Connecticut recording and conveyance charges apply. Who pays specific transfer or documentary taxes can be set by local custom or negotiated in the contract. Confirm exact amounts and payer with your attorney and settlement agent.
How much to budget
Costs scale with price and loan size. Use these ranges as a conservative planning tool, then refine with your lender and attorney.
Rule-of-thumb ranges
- Buyers: plan for about 2% to 5% of the purchase price in closing costs. This excludes your down payment. Totals increase if you purchase an owner’s title policy or pay points.
- Sellers: excluding commission, plan for roughly 1% to 3% of the sale price. Including commission, many sellers see a total outlay near 6% to 10%.
Sample costs at $1,000,000
- Buyer estimate, 2% to 5%: about $20,000 to $50,000.
- Appraisal around $800.
- Inspections roughly $350 to $800 for general, plus more for specialized reviews.
- Lender fees or points about 0.5% to 1.5% of the loan amount if charged as a percent.
- Title, lender’s policy, and settlement often $2,000 to $6,000.
- Prepaid taxes, insurance, and initial escrows can range from $5,000 to $25,000 depending on timing.
- Seller estimate, excluding commission: about $10,000 to $30,000 for attorney, settlement, prorations, and deed-related costs. Add commission around 5% to 6% of the sale price to estimate your total outlay.
Sample costs at $3,000,000
- Buyer estimate, 2% to 5%: about $60,000 to $150,000. Larger loans, title premiums, and escrow deposits scale with price. Complex or waterfront properties can also increase appraisal and inspection fees.
- Seller estimate, excluding commission: about $30,000 to $90,000. Add commission around 5% to 6% for a full picture of expected costs.
What each line item covers
Understanding the big categories helps you spot places to negotiate or plan.
Buyer cost categories
- Lender fees and points: application, underwriting, and optional points to buy down your rate.
- Appraisal and credit report: valuation for the lender and your credit pull.
- Inspections: general home inspection plus optional roof, septic, well, radon, lead, structural, or environmental checks.
- Title and settlement: title search, exam, lender’s title policy, and settlement charges. Owner’s title policy is optional by contract and negotiable on payer.
- Recording and government fees: to record your mortgage and related documents.
- Prepaids and escrows: advance installments for property taxes and insurance.
- Attorney fees: buyers in Connecticut typically retain counsel.
Seller cost categories
- Broker commission: customarily paid by the seller and shared between listing and buyer brokerages.
- Loan payoff and lien releases: includes recording the mortgage discharge.
- Prorations: your share of taxes, HOA dues, and utilities through closing.
- Attorney and settlement fees: seller-side representation and processing.
- Repairs or credits: based on post-inspection agreements.
- Deed recording and transfer items: based on local practice and contract terms.
Timeline, documents, and final numbers
A clear timeline keeps you on track and prevents last-minute surprises.
From offer to contract
- You submit an earnest money deposit at contract signing. Amounts vary, and 2% to 5% is common in many transactions.
- If financing, apply for your mortgage promptly. Your lender must provide a Loan Estimate within three business days of application.
- Title search and preliminary report begin shortly after attorneys have executed the contract.
Underwriting to clear to close
- Your lender orders the appraisal. You schedule inspections in the first one to three weeks after acceptance.
- Attorneys work with the settlement agent to clear title issues well before closing.
- Final underwriting issues your clear to close when conditions are satisfied.
Final disclosure, funds, and recording
- Buyers must receive the Closing Disclosure at least three business days before closing. Review it against your Loan Estimate and ask questions early.
- Sellers receive a final settlement statement at or just prior to closing.
- Buyers bring certified funds or send a verified wire for down payment and closing costs. Always confirm wire instructions by phone with a known contact to avoid fraud.
- After closing, the deed and mortgage are recorded with the town clerk. Recording fees are paid when documents are submitted.
Greenwich practice notes to know
Local conventions matter, especially at higher price points.
Attorney involvement
Connecticut closings commonly include attorneys for both buyer and seller. Each party pays their own counsel. Expect your attorney to review all documents, coordinate title, and guide you through closing.
Title insurance norms
Buyers typically pay for the lender’s title insurance policy. The owner’s title policy is optional by contract, and payment can be negotiated. Confirm who pays which policy early with your attorney and title company.
Taxes, recording, and HOA items
State and municipal recording fees apply. Transfer or conveyance tax rules are set at the state and local level, and who pays is often guided by custom or negotiation. For condos or HOA communities, sellers are often responsible for a resale certificate or package, while buyers may pay transfer fees. Check association rules and timing.
Luxury property considerations
- Specialty appraisals for waterfront or estate properties can cost more.
- Older or larger estates may require additional inspections, surveys, or environmental reviews.
- Escrow prepaids for property taxes can be significant. Your closing date relative to local tax due dates will affect cash to close.
Planning and negotiation tips
Use these strategies to control costs and protect your timeline.
Reduce cash to close
- Ask for a seller credit toward closing costs. Lender programs limit concessions, so confirm your cap before negotiating.
- Compare the tradeoff between paying points and your target hold period. A slightly higher rate could preserve near-term cash.
- Clarify which party pays for the owner’s title policy and HOA transfer items during contract negotiations.
Avoid last-minute surprises
- Request a Loan Estimate early, then compare to the Closing Disclosure line by line.
- Build a buffer for escrows and prorations, especially in Greenwich. A 5% to 10% cushion on top of estimated closing costs can reduce stress.
- Engage a local attorney and title team early to surface municipal requirements or title complexities that could add fees.
Wire-fraud safety checklist
- Call a known, verified number for your attorney or settlement agent to confirm wire instructions.
- Never rely on email-only instructions or last-minute changes.
- Send a small test wire if time permits and your bank allows it, then confirm receipt before sending the balance.
Quick checklists
Buyer checklist
- Get preapproved and request a Loan Estimate within three business days of application.
- Budget 2% to 5% for closing costs plus down payment, and add a cash buffer for escrows.
- Schedule inspections quickly and price any specialized inspections you need.
- Confirm who pays the owner’s title policy and any HOA transfer fees.
- Review the Closing Disclosure at least three business days before closing and verify wire details by phone.
Seller checklist
- Review commission terms and confirm any required HOA or municipal resale documents.
- Price your attorney and settlement fees, plus deed prep and expected prorations.
- Decide early on any buyer credits you might offer to facilitate a smooth deal.
- Coordinate mortgage payoff and lien releases with your attorney and lender.
- Confirm the final settlement statement and closing logistics the week of closing.
The bottom line
Closing costs in Greenwich follow clear patterns, yet totals vary with price, financing, and negotiated terms. As a buyer, expect 2% to 5% of the purchase price in closing costs. As a seller, plan for 1% to 3% in closing costs plus the broker commission. Build in a buffer for escrows and timing-related prorations, and rely on your lender and attorney for precise figures as you approach the finish line.
If you want a clear, step-by-step plan tailored to your move, connect with Khuzama "Kay" DaCosta for concierge guidance from contract to keys. Schedule a complimentary consultation, and get local, practical answers before you commit.
FAQs
What are typical buyer closing costs in Greenwich?
- Buyers usually pay lender fees, appraisal, inspections, title and lender’s policy, mortgage recording, prepaids and escrows, and their own attorney fees. Plan for about 2% to 5% of the purchase price.
How much do sellers pay at closing in Greenwich?
- Sellers often pay broker commission plus 1% to 3% in other costs, including attorney fees, prorations, deed-related charges, and any negotiated credits or repairs.
When do I get my final closing numbers?
- Buyers receive the Closing Disclosure at least three business days before closing, and sellers typically get their final settlement statement at or just before closing.
Can a seller cover my closing costs?
- Yes, seller credits are negotiable, but your loan program may cap concessions, so confirm limits with your lender before you write the offer.
Who pays for title insurance in Connecticut?
- Buyers typically pay for the lender’s title insurance policy. The owner’s title policy is optional by contract, and payment is determined by local custom or negotiation.
Are there special Greenwich taxes I should expect?
- Connecticut recording and conveyance rules apply, and local fees and timing can affect prorations. Confirm exact fees and who pays with your attorney or settlement agent.
