Balance Due on Closing

The term “balance due on closing” refers to the remaining amount of money that a buyer must pay at the time of closing a real estate transaction. This balance represents the difference between the total purchase price of the property and any amounts already paid or credited, such as deposits, down payments, or mortgage loan proceeds.

At closing, the buyer must settle this balance, which can include costs like closing fees, legal fees, title insurance, and any other expenses associated with finalizing the purchase. Once this balance is paid, the transaction is completed, and ownership of the property is officially transferred to the buyer.