Buying in Coral Ridge should feel exciting, not confusing. Yet many buyers are surprised by the line items that show up on the ALTA closing statement. You want to know exactly what you will owe, who pays what in Broward, and why. This guide walks you through Florida taxes, title and recording fees, lender-related costs, and common local customs so you can budget with confidence and avoid last-minute stress. Let’s dive in.
What counts as closing costs in Coral Ridge
Closing costs are the one-time fees, taxes, and prepaids due when you complete your purchase. In Fort Lauderdale, these typically include Florida transfer taxes, title and settlement fees, recording charges, lender fees if you finance, and prepaids for insurance and taxes. Some items are customary for the seller to pay, but your contract controls the final allocation.
Florida transfer taxes you should expect
Documentary stamp on deed
- What it is: Florida’s tax on the property transfer.
- Rate: 0.70 per 100 dollars of the purchase price (purchase price × 0.007).
- Who usually pays in Broward: Customarily the seller, though your contract can shift this.
Documentary stamp on promissory note
- What it is: Tax on the mortgage note when you finance.
- Rate: 0.35 per 100 dollars of the loan amount (loan amount × 0.0035).
- Who usually pays: The buyer when taking a mortgage.
Intangible tax on new mortgages
- What it is: Florida intangible tax on the principal of a new mortgage.
- Rate: 2.00 per 1,000 dollars of the loan amount (loan amount × 0.002).
- Who usually pays: The buyer at closing for a purchase-money mortgage.
Note the difference: the deed tax is based on the purchase price. The note stamp and intangible tax are based on the loan amount.
Title, recording, and settlement fees
Owner’s title insurance policy
- What it is: A one-time policy that protects your ownership.
- Cost: Regulated in Florida and based on the purchase price. Your title company will quote it.
- Who usually pays in Broward: Often the seller, though practice can vary by deal and market conditions.
Lender’s title insurance policy
- What it is: Protects the lender on financed purchases.
- Who usually pays: The buyer.
Title search and exam
- What it is: Research and review of public records to issue a title commitment.
- Who usually pays: Commonly included in the title company’s buyer-side charges, though it can vary.
Settlement or closing fee
- What it is: The title company’s fee to manage the closing, prepare the ALTA, and disburse funds.
- Who pays: Varies by contract and local custom. In Broward, the seller often covers a portion, but confirm your agreement.
Recording fees
- What it is: County charges to record your deed, mortgage, and related documents. Fees vary by document and page count.
- Who pays: The party who records the document. The mortgage recording usually falls to the buyer. Deed recording is by contract.
Seller-side items
- Common: Real estate commission, deed tax, owner’s title premium, seller’s loan payoff, and the seller’s portion of prorations.
Lender fees, prepaids, and escrows
Property-tax proration
- What it is: Taxes are prorated between buyer and seller based on the closing date. You will see a credit or debit for your share on the ALTA.
Homeowner’s and flood insurance
- Hazard policy: Lenders usually require your first year’s premium paid at or before closing.
- Flood: Required if the property is in a Special Flood Hazard Area and the loan is federally backed. You would pay the premium.
Escrow or impound account setup
- What it is: An initial deposit for your lender to pay future taxes and insurance.
- Typical cushion: Lenders may collect up to two months of escrow as a cushion, subject to federal rules.
Prepaid interest
- What it is: Interest from the funding date through the start of your first mortgage payment.
- How it appears: A buyer debit at closing.
Association fees and estoppels
- What it is: Condo or HOA transfer and estoppel fees that confirm account status.
- Who pays: Depends on your contract and the association. Buyers commonly pay estoppel fees in South Florida, but confirm early.
Who typically pays what in Broward
Local custom is helpful, but the purchase contract controls. Here is the common pattern:
Seller typically pays:
- Documentary stamp tax on the deed.
- Real estate commission.
- Owner’s title insurance premium.
- Seller-side prorations for their period of ownership.
- Payoff and recording fees to release existing liens.
Buyer typically pays:
- Documentary stamp tax on the note and the intangible tax on a new mortgage.
- Lender charges such as origination, appraisal, credit report, and underwriting.
- Lender’s title policy premium.
- Recording fee for the mortgage.
- First year of homeowner’s insurance, prepaid interest, and initial escrow deposits for taxes and insurance.
- HOA estoppel or transfer fees if assigned to the buyer in the contract.
Example Coral Ridge purchase: quick math
Use these formulas to estimate your major state taxes and common prepaids. Replace the numbers with your actual figures.
Assume:
- Purchase price: 1,000,000 dollars
- Loan amount: 700,000 dollars
- Annual homeowner’s insurance: 6,000 dollars
- Interest rate: 6.5 percent
- Days of prepaid interest to first payment: 15 days
Calculations:
- Deed doc stamp (customarily seller): 1,000,000 × 0.007 = 7,000 dollars
- Note doc stamp (buyer): 700,000 × 0.0035 = 2,450 dollars
- Intangible tax (buyer): 700,000 × 0.002 = 1,400 dollars
- Prepaid hazard insurance (buyer, if lender required): about 6,000 dollars for the first year
- Prepaid interest (buyer): 700,000 × 0.065 × 15 ÷ 365 ≈ 1,866 dollars
- Initial escrow deposit (buyer): lender will quote the exact months for taxes and insurance. Expect several months of each, plus a cushion as allowed by federal rules.
These figures do not include title premiums, recording fees, HOA charges, or lender fees, which depend on your contract, title quotes, county fee schedule, and lender.
How to avoid surprises at closing
- Ask for an itemized estimate early. If you are financing, review your Loan Estimate and later your Closing Disclosure. If you are paying cash, request an ALTA estimate from the title company.
- Confirm title and county charges. Request written quotes for owner and lender title premiums, the latest Broward recording fees, and the exact deed, note stamp, and intangible tax amounts.
- Get HOA fees in writing. Ask for estoppel, transfer, and any capital contribution details as soon as your contract is accepted.
- Nail down escrows. Ask your lender to show the month-by-month escrow setup for taxes and insurance.
- Clarify concessions. If you negotiated seller credits, make sure your contract states any limits so the ALTA allocation is clear.
Work with a local advocate
You deserve a calm, predictable closing. The Dinh Group pairs hyperlocal Fort Lauderdale expertise with investor-grade execution so you know your numbers early and close with confidence. We can review your estimates, coordinate with your lender and title team, and help you plan cash to close in a way that fits your goals.
Schedule your personalized consultation with Hanh at The Dinh Group.
FAQs
What are the biggest buyer closing costs in Coral Ridge?
- The largest buyer items often include the documentary stamp tax on the mortgage note, the intangible tax on the new loan, lender fees, the first year of homeowner’s insurance, initial escrow deposits, and prepaid interest.
Who usually pays the Florida deed tax in Broward?
- It is customary in Broward and much of South Florida for the seller to pay the documentary stamp tax on the deed, but your contract controls the final allocation.
How are property taxes handled at a Coral Ridge closing?
- Taxes are prorated based on the closing date. You will see a debit or credit on the ALTA so each party pays their share of the year’s taxes for the time they owned the property.
Do all-cash buyers still pay Florida transfer taxes?
- Yes. The documentary stamp tax on the deed still applies on a cash purchase. Loan-related charges such as note stamp, intangible tax, lender fees, and escrow setup do not apply without a mortgage.
How much will my initial escrow deposit be with a mortgage?
- It depends on your closing month and lender requirements. Lenders typically collect enough to cover upcoming bills plus a cushion that can be up to two months of escrow under federal rules. Ask your lender for a written breakdown.
Are HOA estoppel or transfer fees common in Coral Ridge?
- Yes. Many condo and HOA communities charge estoppel and transfer fees during a sale. Who pays can vary by contract and community, so confirm early with the association and your title company.
