Closing costs for cash buyers are based on the price of the home and increase accordingly. The costs include real estate transfer taxes and processing and filing charges. They may also include optional fees for an attorney, title insurance, home inspection and appraisal.
While an attorney, title insurance, inspection and appraisal are not required, many cash buyers opt for them to provide peace of mind. By paying cash, buyers avoid other typical closing costs such as real estate taxes to place in escrow, loan origination fees and other charges common with mortgage lenders. Cash buyers who opt for title insurance can pay about a third less than if they had a mortgage, according to Forbes.