Buying or selling in Warsaw, Indiana and wondering who pays what at the closing table? You are not alone. Closing costs can be confusing because they involve multiple companies, local rules, and line items you may be seeing for the first time. In this guide, you will learn what buyers and sellers typically pay in Kosciusko County, what to verify locally, and practical ways to plan your budget. Let’s dive in.
Closing costs at a glance
Closing costs are the third-party fees and prorations you pay when you complete your home purchase or sale. These are separate from the purchase price and your agent’s negotiated terms. Exact costs depend on your loan, the title company, contract language, and county fees.
- Buyers often pay about 2% to 5% of the purchase price in closing costs, not including the down payment.
- Sellers often pay about 6% to 10% when commissions are included. Excluding commissions, seller closing costs typically run about 1% to 3%.
These are broad ranges. Your actual numbers will be set by your lender, title company, and Kosciusko County fees.
Who pays what in Warsaw, IN
Local custom can vary, but here is a useful starting point for Warsaw and the broader Kosciusko County area:
- Buyers usually cover lender-related fees, appraisal, inspections, lender’s title policy, most recording for the mortgage, and prepaids for taxes and insurance.
- Sellers typically pay real estate commissions, their mortgage and lien payoffs, prorations for property taxes up to the closing date, and often some title-related charges. Who pays for the owner’s title policy can vary by contract and local practice.
- Transfer taxes should be verified at the state and county level. Do not assume there is or is not a transfer tax without confirming.
Always confirm allocations in your purchase agreement and with your title company.
Buyer closing costs explained
Loan and lender fees
If you are financing, you will see line items from your lender, such as:
- Origination or application fee, sometimes quoted as a percentage of your loan or a flat fee.
- Underwriting, processing, and credit report fees.
- Optional discount points if you choose to buy down your rate.
- Mortgage insurance premiums if your loan requires them.
Title and settlement fees
Buyers are commonly responsible for the lender’s title insurance policy. You may also select an owner’s title insurance policy to protect your interest. Other common items include:
- Title search and examination.
- Settlement or closing fee paid to the title company.
- Survey fee if your lender or title company requires one.
Who pays for the owner’s title policy can be negotiated and may follow local custom. Confirm this in your contract and with your title company in Kosciusko County.
Appraisal and inspections
Lenders usually require an appraisal. In addition, you may choose inspections such as general home, termite or wood-destroying insects, well and septic. These are typically buyer-paid.
Government and recording charges
You will pay to record your mortgage and possibly other documents. Exact recording fees are set by the Kosciusko County Recorder. Verify the current fee schedule before closing. Confirm whether any state or county transfer tax applies.
Prepaid items and escrow setup
Most buyers prepay a portion of property taxes and the first year of homeowners insurance. Your lender may also collect an initial escrow deposit to fund future tax and insurance payments.
Buyer budget examples - estimates only
These examples are illustrations, not quotes. Your numbers will vary.
- On a $200,000 home, buyer closing costs at 2% to 5% could be about $4,000 to $10,000.
- On a $350,000 home, buyer closing costs at 2% to 5% could be about $7,000 to $17,500.
Request a Loan Estimate from your lender and a sample fee sheet from your title company to dial in your figures.
Seller closing costs explained
Commission and loan payoffs
Commission is often the largest seller expense. Total commission is negotiated but commonly falls around 5% to 6% in many U.S. markets. You will also pay off any mortgages, home equity lines, and liens, including interest to the closing date and any lender payoff fees.
Title and settlement costs
Sellers may pay for the owner’s title insurance policy in some transactions, but this varies by county and contract. You may also see document prep, settlement fees, or contributions to the title fee depending on local custom and your agreement.
Tax prorations and HOA
Property taxes are prorated between buyer and seller up to the closing date based on Kosciusko County’s tax calendar. If your home is in an HOA, expect prorated dues and any outstanding assessments to be settled at closing.
Repairs, credits, and holdbacks
If you agree to repairs or a closing cost credit, those amounts reduce your net proceeds. In some cases, a small portion of funds may be held in escrow after closing to ensure completion of agreed work.
Seller budget examples - estimates only
- On a $200,000 sale, total costs including a 6% commission could be around $14,000 to $18,000 when you add typical non-commission items.
- On a $350,000 sale, total costs including a 6% commission could be around $24,500 to $31,500.
- Excluding commissions, many sellers see 1% to 3% in other closing costs.
Ask your listing agent or title company for a seller’s net sheet to estimate your proceeds before accepting an offer.
Kosciusko County items to verify
Local fees and practices can change. Before you finalize your budget, confirm the following:
- Recording fees for deeds, mortgages, and satisfactions with the Kosciusko County Recorder’s Office.
- Whether any state or county transfer tax applies in Indiana for your transaction.
- Property tax proration rules and due dates with the Kosciusko County Auditor or Treasurer.
- Who typically pays for the owner’s title insurance policy in Kosciusko County, and what your contract specifies.
- HOA resale documents, fees, and any special assessments if the property is in an HOA.
What you will receive and when
If you are getting a mortgage, your lender must send a Loan Estimate early in the process and a Closing Disclosure at least three business days before closing. Compare the Closing Disclosure to your Loan Estimate and ask about any changes. Sellers receive a settlement statement showing commissions, payoffs, prorations, and credits. Ask to review your closing figures ahead of signing.
Ways to reduce closing costs
If you are buying
- Compare quotes from at least three lenders and ask about origination fee reductions or lender credits.
- Request seller concessions in your offer if the market and your strategy support it.
- Choose your title company where allowed and compare settlement and title premiums.
If you are selling
- Discuss commission options with your listing agent.
- Clear liens and title issues early to avoid rush fees or costly delays.
- Offer a targeted buyer credit instead of a broad price reduction when it strengthens your net.
For both sides
- Avoid last-minute changes that trigger extra interest days, courier charges, or re-draw fees.
- Get written estimates from your title company so you can compare line items and catch errors early.
Step-by-step to get precise numbers
Buyers
- Collect Loan Estimates from at least three lenders and compare fees line by line.
- Ask your lender about typical third-party fees like appraisal, title, and settlement.
- Request a sample Closing Disclosure from the title company after you go under contract.
- Review HOA documents, any pending assessments, and the property’s tax history.
Sellers
- Ask your agent or title company for a detailed seller’s net sheet before you list and again when you accept an offer.
- Order payoff statements for all mortgages and liens as soon as you go under contract.
- Confirm recording and document fees for satisfying your mortgage with the county recorder.
Both
- Clarify in writing who pays for the owner’s title insurance policy and settlement fees.
- Ask the title company for a written closing cost estimate based on your purchase price and contract terms.
Who to contact locally
- Kosciusko County Recorder’s Office for current recording fees and document requirements.
- Kosciusko County Auditor or Treasurer for property tax schedules and proration practices.
- Local title companies or closing attorneys for fee quotes and customary practices.
- Local lenders or mortgage brokers for Loan Estimates and lender-specific fee explanations.
- Local Realtor association or MLS resources for commission norms and customary allocations.
Ready to plan your closing in Warsaw?
Whether you are settling on a lakefront property, a custom new build, or moving up within town, you deserve a clear, low-stress closing. If you want a line-by-line plan, a seller’s net sheet, or a buyer cost breakdown tailored to your loan and property, our team can help you get it right the first time. Reach out to Mike Lee's Team to start a precise closing plan and move forward with confidence.
FAQs
How much should a buyer in Warsaw, Indiana budget for closing costs?
- Many buyers see about 2% to 5% of the purchase price in closing costs, not including the down payment, with exact amounts set by your lender, title company, and county fees.
In Kosciusko County, who usually pays for the owner’s title insurance policy?
- It depends on local custom and your contract; confirm with your title company and agent which party is responsible before you finalize terms.
Are there real estate transfer taxes in Kosciusko County, Indiana?
- Do not assume either way; verify with the title company or the Indiana Department of Revenue whether any state or county transfer tax applies to your transaction.
How are property taxes prorated at closing in Kosciusko County?
- Taxes are usually prorated between buyer and seller up to the closing date based on the county tax calendar; confirm the method and any arrears with the Auditor or Treasurer.
What documents will I receive before closing if I am financing a home?
- You should receive a Loan Estimate early and a Closing Disclosure at least three business days before closing; compare them and ask your lender to explain any differences.
How can a seller estimate net proceeds before accepting an offer?
- Request a seller’s net sheet from your agent or title company that itemizes commission, payoffs, prorations, and fees so you can see your estimated bottom line.
Who sets recording fees in Warsaw, Indiana and where can I get them?
- Recording fees are set by the Kosciusko County Recorder’s Office; request the current fee schedule from the Recorder or ask your title company to confirm the exact amounts for your documents.
