Closing Costs in Stroudsburg: A Simple Guide

Staring at a long list of fees a few days before closing can feel overwhelming. You want clarity, a solid budget, and no surprises on the big day. This guide breaks down closing costs for Stroudsburg buyers in simple terms, so you know what to expect and how to prepare. You will learn typical cost ranges, local items to verify in Monroe County, and a step-by-step plan to get accurate numbers. Let’s dive in.

What closing costs include

Closing costs are the fees and prepaid charges you pay at or before closing in addition to your down payment. They cover lender fees, third-party services like appraisal and title, government charges for transfer and recording, and prepaid items such as taxes, insurance, and daily interest. The Consumer Financial Protection Bureau explains that your lender must deliver a Closing Disclosure at least three business days before closing so you can review every line item.

For a quick planning number, buyers often budget about 2% to 5% of the purchase price for total closing costs. Your final total will vary by loan type, price, and local taxes.

Typical costs in Stroudsburg

Government and recording fees

• Pennsylvania realty transfer tax: Pennsylvania charges a state realty transfer tax. In many transactions the transfer tax is split 50/50 between buyer and seller, but it is negotiable and should match your contract.
• County and municipal transfer taxes: Counties and boroughs in Pennsylvania may add local transfer taxes. Verify current rates with Monroe County and the Borough of Stroudsburg.
• Recording fees: The county charges fees to record deeds and mortgage documents. These are usually modest flat amounts.

Lender and loan-related fees

• Origination or processing: commonly 0.25% to 1.0% of the loan amount, depending on the lender and program.
• Appraisal: typically $300 to $700.
• Credit report and application: often $25 to $75.
• Underwriting or processing: varies by lender, sometimes bundled.
• Points: optional. One point equals 1% of the loan amount and can lower the rate.
• Flood certification: usually $10 to $30.

Title and settlement fees

• Title search, exam, and settlement services: often $300 to $800, depending on complexity.
• Title insurance: the lender’s policy is typically required. An owner’s policy is optional but commonly purchased. Premiums are one-time and based on price and loan amount.
• Attorney fees: Pennsylvania closings often include attorneys for title and settlement. Expect $500 to $1,500 or more, depending on the file.

Inspections and surveys

• Home inspection: commonly $300 to $600.
• Pest or wood-destroying organism inspection: about $50 to $200.
• Radon or septic inspections: as needed, pricing varies.
• Survey: if required by the lender or requested by you, often $300 to $900.

Prepaids, escrows, and prorations

• Prepaid interest: covers daily interest from closing until your first payment date.
• Property tax prorations: seller and buyer split taxes based on the closing date.
• Escrow deposits: lenders may collect a cushion for taxes and insurance, often 1 to 3 months of reserves up front.
• Homeowners insurance: many lenders require the first year’s premium paid by closing.
• HOA transfer or dues: if the property is in an HOA, you may see a transfer fee or a few months of dues collected at closing.

How much to budget

As a simple planning rule, set aside 2% to 5% of the price for closing costs. For example, on a $300,000 purchase, a typical range is about $6,000 to $15,000. Your actual number depends on loan terms, title costs, transfer taxes at the state, county, and borough levels, inspection choices, and your lender’s escrow requirements. Use this estimate to start, then refine it with real quotes.

Stroudsburg items to verify locally

Small differences in local taxes and practices can change your total by thousands. Before you finalize a budget, verify:

• Pennsylvania realty transfer tax details with the Pennsylvania Department of Revenue.
• County transfer and recording fees with the Monroe County Recorder of Deeds and the county tax office.
• Any municipal transfer tax with the Borough of Stroudsburg.
• Title insurance premiums and settlement fees with a local title company or real estate attorney.
• Local customs on who pays which items, including transfer taxes and the owner’s title policy.

Your step-by-step checklist

1. Request a Loan Estimate from your lender within three business days of application. Compare fees line by line.
2. Ask for an early estimate of your Closing Disclosure and confirm the final Closing Disclosure arrives at least three business days before closing.
3. Get a title quote from a local title company or real estate attorney. Ask for lender and owner title policy premiums plus settlement fees.
4. Verify transfer and recording fees with Monroe County and the Borough of Stroudsburg.
5. Schedule inspections: home, pest, radon, septic, and a survey if needed. Gather quotes up front.
6. Confirm escrow deposits with your lender, including how many months of taxes and insurance will be collected.
7. Request HOA resale and transfer-package costs if the property is in an association.
8. Prepare funds and wiring instructions with your settlement agent. Always confirm instructions by phone using a known number to avoid fraud.
9. Review your contract to confirm who pays which negotiable items, such as transfer tax splits or the owner’s title policy.

Ways to keep costs predictable

• Compare lenders: review origination, discount points, and third-party fees on each Loan Estimate.
• Ask about seller credits: your loan program may allow concessions toward closing costs, subject to loan-to-value and underwriting rules.
• Time your closing date: closing near the end of the month can reduce prepaid interest.
• Understand title insurance: the lender’s policy protects the lender. The owner’s policy is optional but common and gives you added protection. Ask for both quotes early.
• Read everything early: review the Closing Disclosure carefully and ask questions right away to prevent last-minute changes.

Practical timing tips

• Expect the legally required Closing Disclosure at least three business days before you sign.
• Ask your lender to estimate prepaid interest per day for your planned date.
• Gather proof of homeowners insurance and be ready to pay the first year’s premium.
• Confirm certified funds or wire deadlines with your settlement agent.

Ready to plan your closing?

If you want a clear budget and local guidance, you are not alone. I help buyers compare real numbers, connect with trusted local title and inspection pros, and keep your closing on track. For one-on-one support in Stroudsburg and across the Poconos, reach out to Kacey Conaty.

FAQs

What are typical buyer closing costs in Stroudsburg?

• Most buyers plan for about 2% to 5% of the purchase price, which includes lender fees, title, transfer and recording charges, inspections, and prepaid items.

Who usually pays Pennsylvania transfer tax?

• It is negotiable, though many deals split it 50/50 between buyer and seller; confirm the state rate and any local taxes and follow your signed contract.

Can I roll closing costs into my mortgage?

• Often yes, if your loan program and lender allow financing certain costs or using seller concessions, subject to loan-to-value limits and underwriting rules.

Do I need title insurance or an attorney in Pennsylvania?

• Lenders typically require a lender’s title policy; an owner’s policy is optional but common, and Pennsylvania closings often involve attorneys for title and settlement.

When will I receive my final numbers?

• Your lender must provide a Closing Disclosure at least three business days before closing; you should compare it to the settlement statement and ask questions right away.