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Pocketing part of the closing costs?

Posted on: 31st Aug, 2011 03:00 pm
Hello, Not sure if this is the place for this, but I think it is, so I guess I will post it here.

I bought a house in 2009 and the guy I bought it from said that the closing would be $700 I believe, which is definitely higher than most closing for a property of this price ( I think the property price was like $3,160 ) It was in Dayton Ohio and needed a lot of work, in case you were wondering why it was so cheap, lol...

So my question is, I saw it on the Country property records as sold for $3,860 - Usually they don't include the closing costs in the price of the house, so it should have come up $3,160 since that is what I paid for it minus closing. Is it legal to pocket part of the closing costs for yourself and pay the 3 - 4 hundred that it'd normally cost and you pocket the extra 300 to 400? Thanks just kind of curious on how that works.
Hi Noenoeclue_is_me!

Welcome to forums!

I haven't heard of this pocketing of the closing costs. The lender is liable for informing you about the closing costs in details which he is charging you. I don't think you will be able to pocket the extra closing costs.

Sussane
Posted on: 31st Aug, 2011 08:05 pm
Oh, I was not referring to Mortgages, this was a straight cash purchase. No mortgages involved. The listing was pretty straight forward - closing will be $700 and all cash buyers - high bid wins the property.
Posted on: 01st Sep, 2011 01:52 pm
Even in that situation, I don't think it will be easier for you to pocket the closing costs.
Posted on: 01st Sep, 2011 07:17 pm
Erm, I guess? But that doesn't answer my question 100%, like I will give another example of what I am referring to, on this bidding website, I saw a guy advertising two properties of the same one had a closing fee os $395 and the other $495 obviously it wouldn't cost 100 more to close on the property, so what is he doing with the extra 100?
Posted on: 03rd Sep, 2011 04:38 am
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