Title Company • Option Fee
Texas
Only state with the option fee structure. No transfer tax. Seller pays owner's title insurance. TREC-promulgated contracts.
Read Texas guideHow real estate closings actually work — closing method, earnest money, termination rights, title insurance, and closing costs for retail and investment deals in every market.
Not legal advice. Deal Run is not a law firm and does not provide legal services. This content is for informational purposes only and should not be relied upon as legal advice. Transaction customs vary by county and change over time. Consult a licensed real estate attorney or experienced title company in the relevant market for guidance specific to your transactions.
Real estate closings work differently in every state. The title company that handles your closing in Texas has no role in a Georgia transaction, where an attorney must be present. The option fee your Texas buyer puts up does not exist in Ohio, where buyers use inspection contingencies instead. The escrow process that California investors take for granted is unfamiliar to wholesalers in attorney-closing states.
If you are doing deals across state lines — or even considering it — understanding these differences is not optional. Who runs the closing, what deposits are required, how termination rights work, who pays for title insurance, and what closing costs to expect all vary by state and by transaction type.
This guide covers two types of transactions: retail deals (owner-occupant purchases, typically with realtors and full contingencies) and investment deals (off-market and on-market purchases by investors, including wholesale assignments and direct-to-buyer sales). The customs, costs, and expectations are different for each, and knowing which rules apply to your deal is what separates experienced operators from beginners.
For state-specific wholesaling disclosure requirements and licensing rules, see our Compliance Guide.
Every state falls into one of three categories. The closing method determines who runs the transaction and how the money flows.
* Attorney customary but not strictly required by statute. In practice, nearly all transactions in these states involve an attorney.
The same property in the same state can close very differently depending on who the buyer is and how the deal is structured.
On-market investment deals are the exception. When an investment property is listed on the MLS with a realtor, the transaction may include some retail-style protections — inspection periods, standard earnest money, and realtor-drafted contracts. The customs shift toward retail because realtors use standardized contracts that include these provisions by default. But even on-market investment deals tend to close faster, with fewer contingencies, than owner-occupant purchases.
Key transaction customs at a glance. Click any state for the full guide.
| State | Closing Method | Termination Right | Retail EM | Transfer Tax | Owner’s Title |
|---|---|---|---|---|---|
| Texas | Title Company | Option fee (unique) | 1% + option fee | None | Seller pays |
| Ohio | Title Company | Inspection contingency | 1-2% | Conveyance fee | Negotiable |
| Indiana | Title Company | Inspection contingency | 1-2% | None | Seller (custom) |
| Kentucky | Attorney | Inspection contingency | 1-2% | $0.50 / $500 | Seller (custom) |
| Georgia | Attorney (required) | Due diligence period | 1-2% | $1.00 / $1,000 | Buyer (custom) |
| Oklahoma | Title Company | Inspection period | 1-2% | $0.75 / $500 | Seller (custom) |
| Illinois | Attorney (Cook Co) / Title | Attorney review + inspection | 1-3% | Transfer stamps | Varies |
| Pennsylvania | Attorney (custom) | Inspection contingency | 1-2% | 2% (split) | Negotiable |
| South Carolina | Attorney (required) | Due diligence period | 1-2% | Deed stamps | Buyer (custom) |
| Oregon | Escrow | Inspection period | 1-2% | $1.00 / $1,000 | Negotiable |
| Wisconsin | Title Company | Inspection contingency | 1-2% | $3.00 / $1,000 | Negotiable |
| Tennessee | Title Company | Inspection period | 1-2% | $0.37 / $100 | Seller (custom) |
| Connecticut | Attorney (required) | Inspection contingency | 1-2% | Conveyance tax | Seller (custom) |
| Maryland | Attorney (custom) | Inspection contingency | 1-3% | Transfer + recordation | Negotiable |
| North Dakota | Title Company | Inspection contingency | 1-2% | None | Seller (custom) |
| Nebraska | Title Company | Inspection contingency | 1-2% | $2.25 / $1,000 | Seller (custom) |
| Florida | Title Company | Inspection period | 1-3% | Doc stamps | Varies by county |
| North Carolina | Attorney (required) | Due diligence period + fee | 1-2% + DD fee | Excise tax | Seller (custom) |
| California | Escrow | Contingency period (17 days) | 1-3% | Documentary transfer tax | Varies by county |
| New Jersey | Attorney (custom) | Attorney review + inspection | 1-3% | Realty transfer fee | Varies |
| Arizona | Escrow / Title | Inspection period (10 days) | 1-2% | None | Negotiable |
Detailed transaction customs, closing costs, and deal-specific guidance for each state.
Only state with the option fee structure. No transfer tax. Seller pays owner's title insurance. TREC-promulgated contracts.
Read Texas guideTitle company closings with county-level conveyance fees. Inspection contingency standard on retail. New SB 155 wholesale rules.
Read Ohio guideNo transfer tax. Title company closings. Seller customarily pays owner's title. Straightforward closing process.
Read Indiana guideAttorney-conducted closings. Transfer tax on deeds. License required for wholesale marketing under HB 62.
Read Kentucky guideAttorney must be present at closing. Due diligence period gives buyers unilateral termination right. Buyer pays owner's title.
Read Georgia guideTitle company closings with documentary stamps. SB 1075 now regulates wholesale transactions including simultaneous closings.
Read Oklahoma guideSplit state: attorney closings in Cook County, title company elsewhere. Unique 5-day attorney review period. Transfer stamps vary by municipality.
Read Illinois guideAttorney-conducted closings customary. 2% transfer tax split between buyer and seller. Inspection contingency standard.
Read Pennsylvania guideAttorney must supervise closing. Due diligence period similar to North Carolina. Deed stamps on transfer.
Read South Carolina guideEscrow-based closings. No closing table — parties sign separately. Transfer tax on sales. HB 4058 wholesale regulations.
Read Oregon guideTitle company closings. Transfer fee of $3 per $1,000. WB-11 offer form is standard. Act 208 regulates wholesale.
Read Wisconsin guideTitle company closings. Transfer tax of $0.37 per $100. Inspection period standard on retail. SB 909 wholesale rules.
Read Tennessee guideAttorney required at closing. Conveyance tax on all transfers. PA 25-168 wholesale disclosure requirements.
Read Connecticut guideAttorneys handle most closings. Transfer and recordation taxes apply. HB 124 wholesale regulations. Inspection contingency standard.
Read Maryland guideTitle company closings. No transfer tax. HB 1125 wholesale disclosure requirements. Straightforward closing process.
Read North Dakota guideTitle company closings. Documentary stamp tax applies. LB 892 wholesale registration requirements.
Read Nebraska guideTitle company closings. Documentary stamps on deeds. Who pays owner's title varies by county. Largest wholesale market with no specific statute.
Read Florida guideAttorney must supervise closing. Unique due diligence fee paid directly to seller (non-refundable). Excise tax on transfers.
Read North Carolina guideEscrow-based closings. 17-day contingency period standard. Documentary transfer tax varies by county. Extensive seller disclosures required.
Read California guideAttorney review period (3 business days) plus inspection contingency. Realty transfer fee applies. Attorney closings customary.
Read New Jersey guideEscrow or title company closings. No transfer tax. 10-day inspection period standard in AAR contract. Active wholesale market.
Read Arizona guideDeep dives into specific transaction topics that apply across all states.
How each closing method works, what it costs, and which states use which model.
Read moreHow termination rights vary by state — and why most investment deals skip them entirely.
Read moreWhy investment deals use non-refundable earnest money, how much to expect, and who holds it.
Read moreOwner's policy vs lender's policy, who pays in each state, and what it costs.
Read moreTransfer taxes, recording fees, title insurance, and closing fees — retail vs investment deals.
Read moreHow closings work in states where an attorney runs the show, and what it means for your deal timeline and costs.
Read moreDeal Run helps you find buyers, analyze deals, and market properties — with the data you need to close in every state.
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