In commercial multifamily real estate, there’s a language that is spoken when you are connecting with brokers, property managers and other investors in the profession. To avoid sounding like a novice, an investor must be fluent with the real estate terminology to be taken seriously. Let’s take a minute to breakdown one of those terms.
Closing cost is nothing but the expense that exceeds the cost of the property, that is usually incurred by the buyers and the sellers to complete a real estate transaction.
Here is an idea of what types fees are part of closing costs:
- Application fees
- Origination fees
- Attorney fees
- Underwriting fees
- Recording fees
- Due diligence fees
- Credit search fees
By learning these concepts and terms, you’re separating yourself from the novice investor looking to be more active than passive. Here’s where you can learn more multifamily investing terms.
