Understanding the 2025 California Customary Practices Guide

What Are Customary Practices?

Customary practices in real estate refer to the norms and standards typically followed within a specific region. These can vary significantly between states and even counties. In California, these practices dictate how closing costs are divided, who handles escrow, and other essential details that can impact your real estate transaction.

Key Takeaways from the Guide

1. Closing Costs Breakdown: The guide offers a detailed look at the closing costs typically incurred in California real estate transactions. These costs include escrow fees, title insurance, property taxes, and more. Understanding who pays for what—buyer or seller—is crucial for budgeting and negotiating.
2. Escrow Procedures: California is an escrow state, meaning an independent third party manages the funds and documents during the transaction process. The guide outlines how escrow works and the responsibilities of all parties involved.
3. Title Insurance Norms: Title insurance protects against potential ownership disputes. The guide clarifies whether buyers or sellers typically cover this cost and highlights its importance in safeguarding your investment.
4. Regional Variations: While the guide focuses on statewide practices, it also acknowledges regional differences that might affect your transaction. For instance, practices in the East Bay Area may differ slightly from those in Southern California.

Why This Matters

Being informed about these customary practices helps you avoid surprises during the buying or selling process. It enables you to:

• Budget more effectively by understanding your financial obligations.
• Negotiate better terms with a clear grasp of standard practices.
• Build confidence as you move through the transaction with fewer uncertainties.

How We Can Help

At Parisa Samimi Group, we specialize in navigating the nuances of California real estate, especially in the East Bay Area. With over 25 years of experience, we provide our clients with clarity, support, and expert guidance. Whether you’re looking to sell or buy, we’ll help you make informed decisions every step of the way.

Stay Ahead in 2025

The real estate market evolves, and staying informed is key. The 2025 California Customary Practices Guide is a testament to the importance of understanding the ever-changing norms in our state’s real estate landscape.

Ready to dive deeper or need personalized advice? Contact us today to get started on your real estate journey with confidence.