Do You Have an FHA Mortgage?
FHA Loans are little different than Conventional Loans. Even though FHA Loans have no Pre-Payment Penalty, they do have what’s called accrual of interest for early payoff.
When paying off an FHA Loan, the payoff funds must be received by the Lender no later than the Installment Due Date (the first day of the month). If the Lender receives payoff after the first day of the month, the Lender will charge interest for the whole month. For example, if the payoff is received by the Lender on the 2nd of the month, you would pay interest for the whole month, and not for 2 days.
State Excise Tax
Whenever real estate in the State of Washington is sold or transferred it is subject to Excise Tax, which is a Lien on your Title Policy. The Excise Tax is 1.78% of the sales price of the property. For example, if the sales price is $500,000, the Excise Tax would be $8,900.
Line of Credit (2nd Mortgage)
Your loan could be subject to a Pre-Payment Fee or an Early Termination Fee. The fee varies from Lender to Lender, so please contact your Lender concerning early payoff fees.
Homeowners Associations (HOA) / Planned Unit Developments (PUD)
When you sell a property located in a PUD it could be subject to a Transfer Fee and/or Departure Fee. If you’re selling a Condo or Townhouse, it could be subject to fees from both the HOA and the PUD.
Sewer Capacity Charge or Assessments
As specified by Item 15 of the Purchase and Sale Agreement, the Sewer Capacity Charge or Assessments can either be assumed by the Buyer or prepaid in full by the Seller at Closing.