Yes. Your settlement costs are added to the basis of your land. Any closing costs belonging to the seller are added to their own basis of the land.
Settlement
costs. Your basis includes the settlement fees and closing costs for buying
property. You cannot include in your basis the fees and costs for getting a
loan on property. A fee for buying property is a cost that must be paid even if
you bought the property for cash. The following items are some of the
settlement fees you can include in the basis of your property.
Abstract fees (abstract of title fees). Charges for installing utility
services. Legal fees (including title search and preparation of the sales
contract and deed). Recording fees. Surveys. Transfer taxes. Owner's title
insurance. Any amounts the seller owes that you agree to pay, such as back
taxes or interest, recording or mortgage fees, charges for improvements or
repairs, and sales commissions.
