Posted on: 01st Dec, 2009 04:53 pm
In this market, what should I be asking a Seller to pay in closing costs?
Also, can anyone tell me what a city mortgage tax and a state mortgage tax are? I received a second GFE from a because he said he could decrease my points by .5%. However, he then added two lines (different from his first GFE) and called them city mortgage tax and state mortgage tax.
I am in VA, and the VA taxation website says nothing about this tax. These are listed separately from city/county tax/stamps and state tax/stamps on my GFE.
The city mortgage tax is listed as $290.42 and the state mortgage tax is 871.30. I don't know what to make of it. Did he decrease my points only to tack on money somewhere else? Or if it's listed as a tax, is it money that the broker won't even ever see?
Thank you!
Also, can anyone tell me what a city mortgage tax and a state mortgage tax are? I received a second GFE from a because he said he could decrease my points by .5%. However, he then added two lines (different from his first GFE) and called them city mortgage tax and state mortgage tax.
I am in VA, and the VA taxation website says nothing about this tax. These are listed separately from city/county tax/stamps and state tax/stamps on my GFE.
The city mortgage tax is listed as $290.42 and the state mortgage tax is 871.30. I don't know what to make of it. Did he decrease my points only to tack on money somewhere else? Or if it's listed as a tax, is it money that the broker won't even ever see?
Thank you!
Hi luckyme,
There are some states like New York wherein you can find state mortgage recording tax and New York City mortgage recording tax applicable to all mortgages recorded in the City of New York. If Virginia doesn't have any such rule, then it won't be applicable in your case. I would suggest you to speak to your lender/broker and sort out the issue. As far as closing costs are concerned, you can ask the seller to pay half of it.
There are some states like New York wherein you can find state mortgage recording tax and New York City mortgage recording tax applicable to all mortgages recorded in the City of New York. If Virginia doesn't have any such rule, then it won't be applicable in your case. I would suggest you to speak to your lender/broker and sort out the issue. As far as closing costs are concerned, you can ask the seller to pay half of it.