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BUYER'S ADJUSTMENTS AND ADDITIONAL COSTS AT CLOSING
The
following are common adjustments and costs made at closing. Other
adjustments may be required in your transaction.
- Tax
Adjustment: You will be responsible at closing for paying that
portion of taxes from the date of closing to the end of the tax
year. If your closing occurs in the month prior to the tax becoming
due, you may be required to escrow 4 to 6 months of taxes at closing
for the next tax period (this is in addition to the taxes you
may be required to pay in paragraph 11). If you are the first
Buyer of a property, the tax authority will issue a supplemental
tax bill called the "Certificate of Occupancy" which reflects
an increase in the assessment value from the preceding October
1. You will receive this bill directly.
- Sewer
Use Charge/Assessment (if applicable): You will be responsible
at closing for paying that portion of the assessment from the
date of closing to the end of the assessment period. You should
be aware that even though the sewer main is in the street, it
may not be fully paid.
- Water
Adjustment: Water charges, if any, shall be adjusted at the time
of closing. We will contact Regional Water Authority/Bridgeport
Hydraulic Company to obtain a water adjustment prior to closing.
- Condominium
common charges (if applicable): You will be responsible at closing
for paying that portion of the common charges up to the date of
closing.
- Heat:
Fuel oil and cooking gas, if any, shall be adjusted at the time
of closing. Customarily, the purchaser pays the seller for a full
tank of fuel oil and propane gas, if any. The tank will be filled
just prior to the closing and a bill will be presented to you
at closing for the full tank of fuel.
- Telephone:
You should contact Southern New England Telephone Company regarding
transfer of telephone service at 1-800-648-3920.
- Electricity:
Prior to closing, you should contact United Illuminating, the
electric utility serving this area, as for establishment of your
electrical service account. The electric meter will be read by
the utility company prior to closing, and the seller will be billed
for electric usage up to the date of the meter reading.
- Gas:
Prior to closing, you should contact Southern New England Gas
Company, for establishment of your gas service account. The gas
meter will be read by the utility company prior to closing, and
the seller will be billed for usage up to the date of the meter
reading.
- Homeowner's
Insurance: This policy must be in effect as of the date of closing
and can be obtained from an insurance agent. If a mortgage is
being obtained, the lender must be named on the policy as mortgagee.
We would be happy to give you names of agents in the area. Generally,
the premium for insurance is paid directly to the agent.
- Condominium
Homeowner's Assessments (if applicable): You will be responsible
at closing for paying that portion of the condominium assessments
from the date of closing to the end of the assessment period.
If this is a new condominium, you may be required to pay a "Condominium
Set-Up Fee" and pay a reserve toward future condominium expenses.
- Bank
fees: You may incur additional bank fees for the preparation of
loan documents, credit report, tax service fee, appraisals, attorney
representation for the bank, if applicable, real estate tax and
homeowners insurance escrow (usually a two month cushion is required
by most lenders this is in addition to the taxes you may be required
to pay in paragraph 1), if applicable, overnight mail, and other
similar fees. You will receive a good faith estimate of these
fees from the bank at the time of commitment.
- Recording
fees: The town clerk will charge $10.00 for the first page and
$5.00 for every page thereafter for recording the deed and mortgage,
if any. In addition, there is a $2.00 charge for recording the
Connecticut property transfer tax return. Recording fees are usually
in the range of approximately $17.00 to $72.00 depending on the
number of pages. Effective 7/1/2000 there is a $3.00 per document
surcharge for recording in Connecticut.
- You
should receive a Lead Paint Disclosure and a Residential Property
Condition Disclosure Report from the Seller at the time you signed
the Contract. Please send us a copy of these documents or notify
us if you have not received these documents.
- You
will need to bring to the closing a cashiers check or bank check
for all funds due. We often receive the mortgage documents on
the day of the closing, so we sometimes cannot give you the final
amount due until the day of the closing. We are sorry for any
inconvenience this may cause.
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