Buying a home is an exciting journey, but understanding the associated costs can feel overwhelming. Beyond the purchase price, there are various fees involved that every buyer should know about. In this guide, the TJS Team, led by Tina Jingru Sui, breaks down the most common fees to help you plan and budget effectively for your next home in Atlanta, Duluth, Suwanee, Dacula, Buford, Alpharetta, or Johns Creek.
1. Pre-Purchase Costs
Earnest Money Deposit
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What it is: A good-faith deposit that shows you’re serious about purchasing the home.
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Amount: Typically 1–3% of the purchase price, held in escrow until closing.
Home Inspection Fee
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What it is: Cost of hiring a professional to assess the property’s condition.
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Amount: Usually $300–$500, depending on property size.
Appraisal Fee
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What it is: Lender-required appraisal to confirm the home’s value.
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Amount: Typically $300–$700.
2. Loan-Related Fees
Origination Fee
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What it is: Charged by the lender for processing your loan application.
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Amount: Usually 0.5–1% of the loan amount.
Credit Report Fee
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What it is: Covers the cost of pulling your credit report.
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Amount: Typically $30–$50.
Discount Points
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What it is: Optional upfront fees to lower your mortgage interest rate.
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Amount: One point equals 1% of the loan amount.
3. Closing Costs
Title Insurance
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What it is: Protects against future claims on the property’s title.
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Amount: Typically $500–$1,500.
Escrow Fees
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What it is: Paid to the escrow company or attorney handling the transaction.
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Amount: Often split between buyer and seller, averaging $500–$2,000.
Property Taxes & HOA Fees
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What it is: Covers prorated taxes and any homeowners association fees.
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Amount: Varies by location; luxury communities in Alpharetta or Johns Creek may have higher HOA fees.
Recording Fees
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What it is: Covers the cost of officially recording the sale with the local government.
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Amount: Generally $50–$150.
4. Ongoing Costs After Closing
Homeowners Insurance
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What it is: Required by lenders to protect your home from damage.
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Amount: Average annual premiums in Georgia range from $1,200–$2,000.
Mortgage Insurance (if applicable)
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What it is: Required for loans with less than 20% down payment.
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Amount: Typically 0.5–1% of the loan amount annually.
5. Tips for Managing Fees
- Plan Ahead: Work with your lender to estimate closing costs and budget accordingly.
- Negotiate When Possible: Some fees, like lender origination fees, may be negotiable. The TJS Team can help identify opportunities to save.
- Use Assistance Programs: Explore local and state programs offering down payment or closing cost assistance, especially for first-time buyers in Dacula and Buford.
6. How the TJS Team Can Help
Navigating the homebuying process can be complex, but the TJS Team is here to simplify it.
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Transparent Guidance: We’ll break down every cost so there are no surprises.
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Trusted Referrals: Connect with inspectors, lenders, and attorneys providing excellent service at reasonable rates.
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Expert Negotiation: Our team ensures you get the best value, from your offer to closing.
Buying a home is a big step, but understanding the fees involved doesn’t have to be stressful. Contact the TJS Team, led by Tina Jingru Sui, for expert guidance in Atlanta, Duluth, Suwanee, Dacula, Buford, Alpharetta, Johns Creek, and beyond.
