All basis adjustments are done in the same way.
Items added to basis.
You can include in your basis the settlement fees and closing costs you paid for buying your home. A fee is for buying the home if you would have had to pay it even if you paid cash for the home. The following are some of the settlement fees and closing costs that you can include in the original basis of your home.
Seller closing costs are made up of several expenses. Here’s a quick breakdown of potential costs and fees:
- Agent commission
- Transfer tax
- Title insurance
- Escrow and closing fees
- Prorated property taxes
- Credits toward closing costs
- Attorney’s fees
