Buying or selling in San Mateo County and wondering what closing costs will look like? You are not alone. With higher home prices from Burlingame to Redwood City and the Coastside, those line items can add up fast. In this guide, you will learn typical ranges, who usually pays what, how cash deals differ from financed purchases, and how to plan your budget with fewer surprises. Let’s dive in.

What are closing costs?

Closing costs are the fees and prepaid items needed to transfer a home from seller to buyer. They cover services like escrow and title, transfer taxes, recording, inspections, and, for borrowers, lender-related fees. In San Mateo County, dollar amounts tend to be higher because sale prices are higher.

• Buyers using a mortgage commonly pay about 2% to 5% of the purchase price in closing costs.
• Sellers typically pay about 6% to 10% of the sale price when you include real estate commissions.
• Cash buyers usually pay less since they avoid lender fees, but they still have escrow, title, transfer taxes, and prorations.

Who pays what locally

Customs can vary by neighborhood and deal. Many items are negotiable. Your contract, escrow officer, and lender will confirm the final split.

Escrow fees

These are fees for managing the transaction and funds. In our market, buyers and sellers often split escrow costs. Fees often scale with price, so high-value sales carry higher absolute fees.

Title insurance and services

An owner’s policy protects the buyer’s title. A lender’s policy protects the lender. It is common in California for the seller to pay the owner’s policy and the buyer to pay the lender’s policy if there is a loan. Practices can vary, and premiums scale with price.

Transfer taxes

County and some city governments charge transfer taxes when ownership changes hands. The seller usually pays these taxes in San Mateo County, but it is negotiable. Rates depend on whether the property is within a city that also levies a tax. Always confirm the property’s city and current rates with the county recorder and the city’s finance office.

Recording fees

The county charges to record documents like the deed and, if applicable, a deed of trust. Buyers typically pay for their recording fees. Sellers may pay to record reconveyance documents tied to their loan payoff.

Lender fees and loan items

If you are financing, expect lender fees such as origination, underwriting, processing, credit report, appraisal, and document prep. Your lender must provide a Loan Estimate within 3 business days of your application and a final Closing Disclosure at least 3 business days before closing.

Prorations and holdbacks

Property taxes and HOA dues are prorated so each party pays for the period they own the home. Escrow may hold funds for agreed repairs or final adjustments.

Property taxes and supplemental tax

California property tax includes a base 1% levy on assessed value under Proposition 13, plus local assessments or parcel taxes. After a sale in San Mateo County, buyers often receive a supplemental property tax bill when the property is reassessed. Budget for this bill, which may arrive months after closing.

HOA and condo fees

Condos and many townhomes have HOA transfer and document fees. Timing for HOA documents can affect your escrow calendar. Who pays is negotiable and can vary by building.

Inspections and disclosures

Buyers usually pay for inspections they order, such as home and pest inspections. Sellers may pay for any required local compliance items and repairs they agree to complete.

Miscellaneous items

These include notary, courier or wire fees, home warranties if chosen, and payoff or reconveyance fees for the seller’s existing loan.

Cash vs. financed: what changes

Cash purchases are simpler because there is no lender. That removes loan origination, underwriting, and lender title policy costs. You still have escrow, title, transfer taxes, recording, prorations, and HOA-related items.

• Financed buyers: budget about 2% to 5% of the purchase price.
• Cash buyers: budget about 0.5% to 1.5% of the purchase price, depending on title selections and escrow fee structure.

Even in cash deals, consider ordering inspections and an appraisal for peace of mind and insurance purposes. Ask the escrow officer for a full fee estimate early so you know your total.

Estimate your costs: a simple worksheet

Use this checklist to build your estimate. Replace ranges with quotes from your lender and your escrow or title company.

• Transaction details: sale price, city, loan amount (if any)
• Seller costs
  • Real estate commission. Often the largest seller expense
  • County and city transfer taxes, where applicable
  • Payoff of existing mortgage and reconveyance fees
  • Prorated property taxes and HOA dues
  • Seller’s share of escrow and title, including owner’s policy if customary
  • Repairs, credits, and any home warranty
• Buyer costs
  • Lender fees: origination, underwriting, processing
  • Appraisal, credit report, and other loan checks
  • Lender’s title policy
  • Buyer’s share of escrow and title services
  • Recording fees
  • Prepaids: homeowner’s insurance, prepaid interest, and tax prorations
  • HOA transfer or estoppel fees
  • Home and pest inspections

Example for a 1,500,000 purchase or sale:

• Buyer using a loan: 2% to 5% equals about 30,000 to 75,000.
• Seller: commissions of about 5% to 6% equals 75,000 to 90,000, plus other costs of about 1% to 3% equals 15,000 to 45,000. Total about 6% to 9% equals 90,000 to 135,000.

Timeline and key documents

Typical escrows on the Peninsula run about 30 to 45 days. Complex financing or contingencies can extend that.

• Within 3 business days of loan application, buyers receive a Loan Estimate from the lender.
• At least 3 business days before signing, buyers receive the Closing Disclosure with final amounts.
• Early in escrow, request a preliminary title report and a draft settlement statement so you can review fees.
• Sellers should request loan payoff demands early and order required HOA or city compliance documents.

Avoid common surprises

Eliminate last-minute stress by addressing these items up front.

• Supplemental property tax bill. Understand how reassessment works and set aside funds for the supplemental bill that may arrive after closing.
• City transfer taxes. Confirm whether the property is in a city with its own transfer tax in addition to the county tax.
• HOA documents and assessments. Order HOA documents early and ask about any pending special assessments.
• Title exceptions. Review the preliminary title report quickly and clear any liens or easements that need attention.
• Fee splits. Confirm who pays which fees with escrow and reflect it in your contract.

Ways to reduce out-of-pocket costs

A few smart moves can lower your cash needed at closing.

• Compare lenders using the Loan Estimate and ask about credits or points.
• Negotiate seller credits toward buyer closing costs where market conditions allow.
• Ask the seller to pay the owner’s title policy if that is customary locally.
• Where permitted by the lender, roll some closing costs into the loan.
• Sellers can shop service providers and review commission structures in line with their goals.
• Obtain multiple quotes from local title and escrow companies.

Questions to ask early

Bring these to your agent, lender, and escrow team at the start.

• What transfer taxes apply for this city and the county, and who is paying them in our contract?
• Who customarily pays the owner’s title policy for this area?
• Are there any Mello-Roos or other special assessments on this property?
• Can we review an itemized Loan Estimate and an estimated settlement statement now?
• Are there any liens or code issues that could delay closing?
• Will a supplemental tax be triggered, and how should I budget for it?

A local partner for smooth closings

Closing costs in San Mateo County are predictable once you identify which city taxes apply, how title and escrow fees scale with your price point, and what your lender is charging. With clear estimates early and good communication, you can plan your cash to close with confidence.

If you want a steady hand from offer to closing, you can work with a local advisor who has guided buyers and sellers on the Peninsula for decades. For thoughtful, detail-forward support and access to trusted vendors, connect with Stephanie Nash.

FAQs

What are typical buyer closing costs in San Mateo County?

• Buyers using a mortgage commonly pay about 2% to 5% of the purchase price, including lender fees and prepaids.

How do closing costs change for cash buyers in San Mateo County?

• Cash buyers avoid lender fees and often budget about 0.5% to 1.5% of the purchase price for title, escrow, recording, and prorations.

Who usually pays transfer taxes in San Mateo County home sales?

• The seller usually pays county and any applicable city transfer taxes, though the responsibility is negotiable in the purchase agreement.

What is a supplemental property tax bill after a San Mateo County purchase?

• After reassessment on change of ownership, the county may issue a supplemental bill that reflects the new assessed value, which buyers should budget for.

How long does escrow take in the San Mateo County area?

• Typical escrows run about 30 to 45 days, with longer timelines possible for complex financing or contingencies.