Other common deferred expenses include startup costs, the purchase of a new plant or facility, relocation costs and advertising expenses. Both prepaid expenses and deferred expenses are important aspects of the accounting process for a business. As such, understanding the difference between the two terms is necessary to report and account for costs in the most accurate way.
Tip: Get the lender to pay the closing costs. If you're short on cash for the closing costs and can't roll the closing costs into the mortgage, some lenders will pay part or all of the closing costs, but in exchange you'll have to pay a higher interest rate on the loan, perhaps 0.25% or 0.50% higher.
With every closing there are closing cost the Seller pays and there are closing costs the Buyer is required to pay. Depending on how the sales contract is written initially, and accepted by both parties, the Seller will usually will help pay for some, or all, of the Buyerâs closing costs.epending on how you structure your purchase contract; normally there are buy and seller closing costs. Conventional, FHA, VA and USDA loans will allow 3-6% to be paid by the seller so that would reduce the amount the buyer needs to bring to closing.