Sticker shock at the closing table can take the shine off your Mount Pleasant home purchase. You want a clear number to budget, plus a simple breakdown of what you are paying for and why. In this guide, you will learn what closing costs include, how much to set aside, and how master planned communities like RiverTowne can affect your bottom line. You will also see example estimates and an easy checklist to keep everything on track. Let’s dive in.
Closing costs explained
Closing costs are the non purchase price charges you pay at closing. They cover lender fees, title and attorney services, insurance, taxes, recording, HOA items, and required reserves or escrows. If you are getting a mortgage, some costs can be financed, but many are due in cash at closing.
You will receive a Loan Estimate early in the process and a Closing Disclosure at least 3 business days before settlement. Use these forms to confirm the final numbers and ask questions before you wire funds.
How much to budget in Mount Pleasant
A practical rule of thumb is to budget 2% to 5% of the purchase price for buyer closing costs. Your total depends on:
- Whether you finance the purchase or pay cash
- Purchase price and loan amount
- County recording and documentary charges
- HOA or master planned community fees
- Negotiated seller credits and who pays which title policies
If the home is in a community with transfer or club fees, such as RiverTowne, your upfront costs can be higher. All cash buyers usually pay less because they avoid lender fees, but they still have title, attorney, recording, and inspection costs.
Main cost categories in Mount Pleasant
Loan related fees
If you are financing, expect lender charges such as origination, underwriting, processing, and credit report fees. These can be a flat amount or a percentage of the loan, often around 0.5% to 1.5% for origination. Appraisals typically run $400 to $800 and may be higher for unique or waterfront homes. Discount points are optional and cost 1% of the loan per point to reduce your interest rate.
Title, settlement, and attorney
In South Carolina, a closing attorney or title company typically handles settlement. Fees vary based on complexity. You will see charges for the title search, closing or settlement fee, and title insurance. A lender’s title policy is usually required when you finance. An owner’s title policy, which protects your ownership, is optional and often negotiated locally on who pays.
Prepaids and escrow
Lenders usually require you to pay the first year of homeowner’s insurance at closing. You may also deposit 2 to 3 months of taxes and insurance into escrow. Property taxes and HOA dues are prorated to the closing date. If the home sits in a required flood zone, flood insurance may be required and can increase both your premium and the initial escrow deposit.
Recording, documentary, and transfer
You will pay county fees to record the deed and mortgage, plus any applicable documentary stamps or transfer taxes as required. Exact recording and documentary charges are county specific in Charleston County. Your closing attorney or title company will confirm the current amounts and who pays what for your contract.
Inspections and surveys
Plan for a general home inspection, often $300 to $700. Pest or termite inspections typically add $50 to $200. A survey or boundary certification may be required by your lender and can range from a few hundred to over $1,000. For older Charleston area homes, you may consider specialized inspections for foundation, termite or wood rot, and HVAC systems.
HOA and master community fees
Many HOAs charge transfer, estoppel, or document fees at resale. Some master planned communities also require a capital contribution or even a separate club initiation if there is a connected country club. These fees can be a few hundred dollars to several thousand dollars depending on the community.
Miscellaneous costs
Expect smaller line items such as wire, courier, notary, or recording copy fees. Remember, earnest money is not a closing cost, but it is credited to you at closing. Budget for moving, utility set up, and lock changes after you get the keys.
RiverTowne’s impact on closing costs
RiverTowne in Mount Pleasant is a good example of how community policies can raise upfront costs. Buyers should anticipate:
- HOA transfer or processing fees and an estoppel or resale certificate
- Possible capital contributions to community reserves
- Separate club initiation or membership fees if joining the country club
- Prorated dues at closing
These items can add several hundred to several thousand dollars to your cash to close. Ask for the HOA or club resale packet early so you can see current fees, rules, and any pending assessments. You can also negotiate with the seller in your offer to cover some transfer or club related fees.
Example closing cost estimates
The numbers below are hypothetical and show how costs can add up differently based on financing and community fees.
Scenario A: Conventional loan on a $400,000 home
- Total estimate around 2.5% of price: about $10,000
- Lender fees and points: $2,400 (0.75% origination)
- Appraisal: $500
- Credit, underwriting, processing: $600
- Title search and lender title policy: $1,200
- Owner’s title policy: $1,600
- Escrow deposits for taxes and insurance: $1,800
- HOA estoppel or transfer: $300
- Inspections: $600
- Recording and other fees: $500
Scenario B: All cash on a $600,000 home in a master planned community
- Owner’s title policy and closing fee: $2,000
- HOA transfer, estoppel, plus prorated dues: $1,200
- Recording and admin fees: $500
- Inspection and survey: $1,200
- Club initiation contribution if required: $5,000
- Total estimate can vary widely and may reach $10,000 to $12,000 or more if a club buy in applies
Key idea: lender fees are predictable when you finance, while HOA or club costs can be the largest swing factor in a master planned neighborhood.
Timeline and checklist
Early planning
- Ask your lender for a Loan Estimate and likely escrow requirements.
- Request the HOA or POA resale packet or estoppel to see fees and any assessments.
- Get quotes for homeowner’s insurance and check flood zone requirements.
- Budget 2% to 5% of the purchase price for closing costs. For all cash, budget less but include potential club initiation.
After contract
- Ask the closing attorney or title company for itemized estimates of title premiums, recording, and any documentary fees.
- Confirm whether the seller or buyer will pay for the owner’s title policy.
- Review your Closing Disclosure at least 3 business days before settlement and flag any surprises.
- Confirm funds to close and wiring instructions directly with the title company.
Smart questions to ask
- Which closing attorney or title company will handle settlement, and can I get an itemized estimate?
- What exact HOA or club transfer fees apply, and who pays them per the contract?
- Is flood insurance required, and what is the estimated premium?
- Will the lender require escrow, and how much must I deposit?
- Are there any outstanding special assessments for this property?
- Who pays for owner’s title policy and recording or deed related stamps per local custom?
Tips to reduce your closing costs
- Shop lenders for lower origination fees and compare rate options with and without discount points.
- Negotiate seller credits within your loan program’s limits. Credits reduce your cash to close.
- Ask your agent to negotiate HOA transfer or club initiation fees during the offer.
- Review optional items. You can decline an owner’s title policy, but it is not generally recommended because it protects your ownership.
The bottom line for Mount Pleasant buyers
Plan for 2% to 5% of the purchase price for closing costs, and pay close attention to HOA and club fees in master planned communities like RiverTowne. Use your Loan Estimate and Closing Disclosure to verify every line, and ask your closing attorney to confirm Charleston County recording and documentary charges. With a clear plan, you can arrive at the table confident in your numbers.
If you want a local, itemized estimate for a specific Mount Pleasant address, reach out to Kristy Mac. You will get concierge coordination with trusted lenders, closing attorneys, and HOA contacts so your cash to close matches your expectations.
FAQs
Who typically pays what in South Carolina closings?
- Practices vary by market and contract. Buyers usually pay loan related fees, lender’s title policy, appraisal, and inspections, while the seller may cover the owner’s title policy in some markets. Your purchase contract and local custom control the split.
Are Charleston County recording or deed taxes significant?
- Recording and documentary charges are county specific. Your closing attorney or title company will confirm current amounts and who pays them for your transaction in Charleston County.
Can a seller pay my closing costs in Mount Pleasant?
- Yes. You can negotiate seller credits up to your lender’s program limits. These credits reduce your cash to close and come out of the seller’s proceeds.
How can I lower my closing costs as a buyer?
- Shop lenders, compare origination and points, negotiate seller concessions, and ask about any available lender or title credits. Review optional items before deciding.
Will HOA dues be prorated at closing in Mount Pleasant?
- Yes. Dues are commonly prorated through the closing date. Check the HOA resale packet for transfer fees, any prepaid requirements, and pending assessments.
Do all cash buyers still have closing costs?
- Yes. You avoid lender fees, but you still pay title and attorney charges, recording fees, inspections, surveys, HOA transfer or estoppel fees, and any club initiation required by the community.
