How much should you bring to closing besides your down payment? If you are buying in Del Mar, the numbers can feel bigger than expected because prices are higher. You want a clear, local roadmap so there are no surprises when you wire funds. This guide breaks down what closing costs include, how much to budget in Del Mar, local coastal considerations, and smart ways to reduce what you pay. Let’s dive in.

What closing costs include

Closing costs are the fees and prepaids you pay to complete the purchase. They are separate from your down payment. Typical items include lender charges, title and escrow fees, third‑party reports, taxes and assessments, insurance prepayments, and recording fees.

Many costs are negotiable, and local customs matter. You confirm the final split in your purchase contract and on your Closing Disclosure.

How much to budget in Del Mar

In California, buyer closing costs often total about 2% to 5% of the purchase price. The percentage in Del Mar is similar, but the dollar amounts are larger because homes are higher priced.

Here are simple planning examples:

• $1,000,000 home: about $20,000 to $50,000 in buyer closing costs.
• $2,000,000 home: about $40,000 to $100,000.
• $5,000,000 home: about $100,000 to $250,000.

Your final number depends on your loan, prepaid items, title and escrow fees, third‑party reports, and whether you negotiate any seller credits.

Who pays what in California

Customs vary by market and contract, but here is what you often see:

• Sellers commonly pay real estate broker commissions and often the owner’s title policy.
• Buyers typically pay lender fees, the lender’s title policy, escrow and recording fees, inspections, and loan-related prepaids.
• Many items are negotiable. Confirm who pays which fees when you write your offer.

Line‑by‑line buyer costs

Lender fees

These cover processing, underwriting, and origination. They may be a flat fee or a percentage of the loan amount. You can compare lenders to see how these differ.

Discount points (optional)

You can pay points upfront to lower your interest rate. One point equals one percent of the loan amount. Whether points make sense depends on your rate options and how long you expect to hold the loan.

Appraisal

Your lender orders an appraisal to confirm value. For single‑family homes this often runs about $500 to $1,500 or more. High‑value or complex coastal properties in Del Mar may require specialty appraisals that cost more.

Home and specialty inspections

A standard home inspection often ranges from about $300 to $1,000, depending on size and complexity. You may also order termite or wood‑destroying organism inspections, roof or pool inspections, and, for bluff or oceanfront homes, geotechnical or coastal engineering reviews that can be several thousand dollars. In coastal Del Mar, do not skip critical reviews if there is bluff or erosion risk.

Title and escrow fees

These include title search, title insurance, escrow handling, and closing administration. In many California transactions, the seller pays the owner’s title policy and the buyer pays the lender’s title policy, but this can be negotiated. Title insurance premiums scale with sale price, so they are higher on luxury properties.

Recording and transfer taxes

You will see fees to record the deed and any loan documents. Documentary or transfer taxes depend on county and city rules. In San Diego County and the City of Del Mar, amounts are set by the local jurisdiction and vary by transaction. Confirm exact figures with your title and escrow team.

Property taxes and supplemental bills

Property taxes are prorated at closing. Under California law, you may receive supplemental tax bills after closing if the assessed value changes. Typical effective tax rates often run around 1% to 1.5% of assessed value, but you should verify the current rate and any assessments for the specific parcel.

Prepaid interest and insurance

You pay prepaid interest from your closing date through month‑end. Lenders usually require proof of homeowner’s insurance and may collect the first year’s premium at closing. If your down payment is less than 20%, mortgage insurance may apply.

HOA fees and transfers

If the property is in an HOA, plan for transfer or estoppel fees and prorated dues. Review CC&Rs, budgets, and rules before removing contingencies.

Escrow, notary, courier, and wire protection

These small administrative items add up to hundreds of dollars. Your escrow officer can provide an itemized schedule.

Other possible items

Depending on the property and loan, you might see flood insurance, surveys or plot maps, or other program-specific fees. Real estate attorneys are uncommon in California residential deals but can be engaged if you prefer.

Del Mar coastal considerations

• High property values. Even standard fees produce larger dollar totals because purchase prices are high.
• Coastal and geologic risk. Bluff erosion, sea‑level rise, coastal flooding, and slope stability can be material. Geotechnical and coastal engineering reports are often advisable for bluff‑top or oceanfront homes.
• Coastal permits and conditions. Del Mar is in California’s coastal zone. Verify if there are Coastal Commission permits, recorded conditions, or open enforcement items that may affect future work.
• Local assessments. Some properties carry Mello‑Roos or other district assessments. Confirm through the preliminary title report and county tax records.
• HOA rules. Certain communities and condo projects have transfer fees, reserves, and renovation limits. Review documents early.
• City regulations. Del Mar’s planning and building standards can be stricter than unincorporated areas. If you plan renovations, consult the city or a local architect before budgeting.

Timeline and key documents

• Loan Estimate. Your lender provides this within three business days of application. It outlines estimated closing costs and cash to close.
• Closing Disclosure. You receive this at least three business days before you sign. It lists your final loan terms and itemized closing costs.
• Preliminary Title Report. Review liens, easements, assessments, and requirements to close.
• Natural Hazard Disclosures. California requires disclosures such as NHD reports. Coastal properties may have additional flood or tsunami-related items.
• HOA package and estoppel. If applicable, review CC&Rs, bylaws, budget, reserves, and estoppel.
• Inspection and engineering reports. Order based on condition and location. Coastal or bluff sites often warrant geotechnical review.

Ways to reduce your costs

• Compare lenders. Ask for fee breakdowns, rate options, and any lender credits. Review multiple Loan Estimates.
• Negotiate seller credits. You can request that the seller pay part of your closing costs, subject to loan program limits.
• Review title and escrow fees. Ask for an itemized schedule and request reductions on negotiable items.
• Finance certain costs. Some lenders allow you to roll eligible closing costs into the loan amount, subject to underwriting.
• Prioritize inspections. Do not skip critical coastal or geotechnical reviews for bluff or oceanfront properties. For low‑risk homes, avoid unnecessary specialty reports.
• Confirm local custom early. Decide who pays which title and escrow items when you write the offer.

Sample estimates to plan

Use these examples as a simple planning tool. Actual figures will vary based on your loan, property type, and third‑party fees.

• $1,000,000 purchase: about $20,000 to $50,000 in buyer closing costs.
• $2,000,000 purchase: about $40,000 to $100,000.
• $5,000,000 purchase: about $100,000 to $250,000.

Buyer checklist for Del Mar

• At offer
  • Decide who pays which closing costs. Ask for seller credits if appropriate.
  • Confirm whether the seller will cover the owner’s title policy based on local custom.
• First week of escrow
  • Get your Loan Estimate and review all fees.
  • Order home and termite inspections; scope specialty inspections if coastal or bluff‑top.
  • Request HOA documents if applicable.
  • Request the preliminary title report.
• Mid‑escrow
  • Review appraisal and any geotechnical or coastal reports.
  • Confirm homeowner’s insurance coverage and binder.
  • Verify property tax rate, assessments, and any Mello‑Roos via county records.
• Before closing
  • Review your Closing Disclosure at least three business days before signing and ask about any unexpected fees.
  • Confirm wire instructions by phone using known numbers to prevent fraud.

Final thoughts and next steps

When you understand each line item and the local coastal context, you can plan your cash to close with confidence. Use the 2% to 5% range to budget, then refine your estimate with your lender and escrow officer as soon as you open escrow. If you are considering a bluff‑top or oceanfront home, set aside time and funds for specialized coastal due diligence.

If you want a tailored estimate for a specific Del Mar property and guidance on negotiating credits, reach out to Mae Rhoten for discreet, high‑touch buyer representation.

FAQs

Who pays closing costs in Del Mar purchases?

• Costs are split by contract and local custom, with many items negotiable; sellers often cover broker commissions and sometimes the owner’s title policy, while buyers typically cover lender, escrow, recording, and prepaids.

How much should I budget for buyer costs?

• Plan for about 2% to 5% of the purchase price, then refine with your lender’s Loan Estimate and your escrow officer’s itemized fees.

When do I see my final numbers?

• Your lender must issue a Closing Disclosure at least three business days before closing that lists your final terms and itemized costs.

Can the seller pay some of my costs?

• Yes, you can negotiate seller credits toward closing costs, subject to your loan program’s limits and the terms you agree to in the contract.

Will I get a supplemental property tax bill?

• You may receive supplemental bills after closing if the assessed value changes, so include this in your budget planning and watch for county notices.