Quick Answer
Closing costs for homebuyers generally range from 2% to 5% of the purchase price, according to Freddie Mac. On a $400,000 home, that is $8,000 to $20,000 in closing costs -- on top of your down payment. With a 10% down payment and closing costs at 3% of the price (a planning figure inside that range), your total cash to close would be approximately $52,000: $40,000 down payment plus $12,000 in closing costs.
Closing costs cover lender fees, third-party services (appraisal, title insurance), prepaid items (property taxes, homeowners insurance), and government recording and transfer taxes. Some fees are negotiable, others are fixed, and several vary dramatically by state.
Key Takeaways
- Buyer closing costs generally range from 2% to 5% of the home price (Freddie Mac) -- on a $400,000 home, that is $8,000 to $20,000 on top of your down payment
- Lender fees are the most negotiable -- always compare Loan Estimates from at least 3 lenders and use competing offers as leverage
- State variation is the largest cost swing: transfer taxes, mandatory attorney fees, and title insurance regulation can change your total by thousands of dollars
- FHA and VA loans add government fees (1.75% UFMIP or 1.25%-3.3% VA funding fee) that increase total closing costs even though down payments are lower
- Five strategies can reduce your costs: compare lenders, shop title insurance, request seller concessions, consider no-closing-cost mortgages, and time your closing date
Use our Mortgage Payment Calculator to see how closing costs affect your total home purchase cost.
What Are Closing Costs?
Closing costs are one-time fees and prepaid expenses paid when a real estate transaction is finalized. They compensate the lenders, attorneys, title companies, appraisers, government agencies, and insurance providers involved in completing your home purchase.
Closing costs are separate from the down payment. Together, the down payment and closing costs make up your total "cash to close" -- the amount you need to bring to the closing table. Many first-time buyers save exactly enough for a down payment and are surprised by an additional $8,000 to $20,000 in fees on a $400,000 home.
Both buyers and sellers have closing costs, but they cover different items. This guide focuses on buyer closing costs. Sellers typically pay real estate agent commissions and their share of transfer taxes; the buyer vs. seller breakdown below shows who customarily pays each item.
Your closing costs will be itemized on two key documents:
- Loan Estimate: provided within 3 business days of applying for a mortgage -- your first look at estimated costs
- Closing Disclosure: provided at least 3 business days before closing -- your final, itemized statement of actual costs
If you are budgeting for a home purchase, our First-Time Homebuyer Guide 2026 covers the full timeline from pre-approval to closing day.
Complete Closing Cost Breakdown for Buyers
Closing costs fall into four categories: lender fees, third-party fees, prepaid items, and government fees. Here is what each includes and where to find it on your Loan Estimate. Most individual fees are set by your lender, your title or settlement company, or your county, and there is no reliable national range for them, so the tables below point you to the line where your own figure appears rather than printing an estimate. For a sense of the total, the CFPB's analysis of 2023 mortgage data puts the median lender and third-party loan costs on a home purchase at $6,684; transfer taxes, prepaid items and escrow deposits come on top.
Lender Fees
These are charges from your mortgage lender for processing and underwriting your loan. Lender fees are generally the most negotiable category.
| Fee | Typical Cost | Notes |
|---|---|---|
| Origination fee | 0.5%-1% of the loan | Covers loan processing. Most negotiable lender fee |
| Underwriting fee | Set by the lender | Covers application evaluation and documentation verification |
| Credit report fee | Set by the lender | Tri-merge credit report pull |
| Flood certification | Set by the lender | Verifies whether the property is in a flood zone |
| Rate lock fee | Set by the lender | Some lenders charge to lock your rate; many waive this fee |
Source: origination range from Freddie Mac, “What Are Closing Costs and How Much Will I Pay?” (February 26, 2026). The other lender fees are set by each lender and itemized on page 2 of your Loan Estimate (Section A, origination charges, and Section B, services you cannot shop for). Median loan costs from the CFPB, 2023 Mortgage Market Activity and Trends (December 2024). Checked September 2026.
Third-Party Fees
These fees go to independent service providers required to complete the transaction.
| Fee | Typical Cost | Notes |
|---|---|---|
| Appraisal | Varies; on your Loan Estimate | Required by lender. Paid to independent appraiser; not negotiable |
| Title search & insurance | Varies; on your Loan Estimate | Verifies clear ownership. Lender's policy required; owner's optional but recommended. Shoppable |
| Attorney/settlement fee | Varies; on your Loan Estimate | Required or customary in some states (for example NY, CT, MA, GA, and SC) |
| Home inspection | Paid to the inspector | Paid before closing. Not required by lenders but strongly recommended |
| Survey fee | Varies; on your Loan Estimate | May be required depending on lender and property type |
Third-party fees appear in Sections B and C on page 2 of your Loan Estimate; Section C lists the services you can shop for, such as title insurance in most states. Prices differ between title companies, so get quotes from at least 2 to 3 companies.
Prepaid Items and Escrow
Prepaid items are not fees -- they are advance payments for recurring costs that your lender collects at closing and holds in escrow. These costs are explained in detail in our PITI Explained guide.
| Item | Typical Amount | Notes |
|---|---|---|
| Homeowners insurance | About $2,110/year on average, paid upfront | 12 months of premium paid at closing |
| Property taxes | Depends on your local due dates | Deposited into escrow. Varies significantly by state and property value |
| Prepaid interest | Per-diem interest | Interest from closing date to end of month. Close late in the month to minimize this cost |
| Escrow reserves | Up to 2 months of escrow payments | Lender may hold a cushion of up to one-sixth of a year's tax and insurance payments |
Sources: average homeowners insurance premium from Freddie Mac (February 26, 2026); escrow cushion limit from Regulation X, 12 CFR 1024.17(c)(1). Prepaid items and the initial escrow deposit appear in Sections F and G on page 2 of your Loan Estimate. Checked September 2026.
Government Fees
Government fees cover recording your deed and mortgage in public records, plus any transfer taxes imposed by your state or local jurisdiction.
| Fee | Typical Cost | Notes |
|---|---|---|
| Recording fees | Set by your county | County charge for deed and mortgage recording |
| Transfer taxes | Set by state and local law | Largest cost variable, and who pays varies -- $0 in TX and MO; buyer-paid in DC (recordation tax); by custom in PA and DE; seller-paid in NY and WA. See below. |
| FHA UFMIP | 1.75% of loan amount | FHA loans only. Can be financed into the loan |
| VA funding fee | 1.25%-3.3% of loan amount | VA loans only. Can be financed. Disabled veterans exempt |
Transfer Taxes Are the Wild Card
Transfer taxes are the single largest source of closing cost variation between states -- but read the who pays line before you budget for one. Some states charge nothing. Where a transfer tax exists, it may fall on the seller, on the buyer, or be split by custom.
Buyer-paid examples. In Pennsylvania the 2% deed transfer tax is customarily split 50/50, so the buyer's share is about 1% -- roughly $4,000 on a $400,000 purchase, and more inside Philadelphia (4.578% total) or Pittsburgh (5%). In Delaware the combined 4% realty transfer tax is split equally under the standard state Realtors contract, putting 2% on the buyer -- about $8,000 on $400,000, before the first-time buyer exemption. Both splits are contract terms, not statute, so they are negotiable.
A common misread: New York City. NYC imposes a Real Property Transfer Tax of 1% on residential sales of $500,000 or less and 1.425% above that, but under NYC Administrative Code § 11-2102 the tax is imposed on the grantor -- the seller -- and New York State's own base transfer tax works the same way. As a NYC buyer you do not budget the RPTT; the buyer-side item is the mansion tax, which starts at 1% on residential purchases of $1 million or more and rises with price. If the seller fails to pay or is exempt, liability can fall back to the buyer, and a contract can shift it deliberately -- so confirm the allocation in your own contract. Always check your state and local transfer tax rates, and who owes them, early in the process.
Buyer vs. Seller Closing Costs
Both sides of a real estate transaction pay closing costs, but they pay for different things. Knowing who customarily pays which item helps you see what is actually up for negotiation.
| Cost | Buyer Pays | Seller Pays | Notes |
|---|---|---|---|
| Loan origination and lender fees | Yes | No | Tied to the buyer's mortgage |
| Appraisal | Yes | No | Required by the buyer's lender |
| Home inspection | Yes | No | Protects the buyer |
| Lender's title insurance | Yes | No | Required by the buyer's lender |
| Owner's title insurance | Varies | Varies | Set by local custom; negotiable |
| Real estate agent compensation | Varies | Varies | Listing agent: usually seller-paid. Buyer's agent: set by your written buyer agreement -- paid by you, or by the seller if negotiated |
| Transfer taxes | Varies | Varies | Set by state and local law and custom -- see the transfer tax note above |
| Prepaid items and escrow deposits | Yes | No | Homeowners insurance, property taxes, prepaid interest |
| Prorated property taxes | Varies | Varies | Split by the closing date |
Local custom decides many of these splits, and your purchase contract is what actually assigns them -- read it before you budget.
Buyer-agent compensation changed in August 2024. Under practice changes from the National Association of REALTORS settlement that took effect on August 17, 2024, offers of compensation to buyer agents no longer appear on the MLS, and agents now ask you to sign a written buyer agreement before touring homes. That agreement states how your agent is paid. A seller can still offer, or agree, to cover it, and commissions remain negotiable -- but it is no longer an automatic default. If the seller does not cover it, you pay it under your agreement, on top of the closing costs itemized in this guide, so settle that term before you make an offer.
Sellers can also contribute toward your own closing costs through seller concessions, within the loan-program limits listed under Strategy 3 below.
Closing Costs by Home Price
The following table shows estimated buyer closing costs at 3% of the home price -- a planning figure inside Freddie Mac's 2% to 5% range -- alongside the down payment and total cash needed to close.
Estimate your closing costs
Enter your home price and down payment to see the usual closing-cost range and your cash to close, from the same figures as the table below.
On a $400,000 home, closing costs generally run $8,000 to $20,000 (2% to 5% of the price). At the 3% planning figure that is $12,000, and with a $40,000 down payment (10%) you would need about $52,000 in cash to close.
Your Loan Estimate lists your own costs. Transfer taxes, recording fees and title insurance vary by state and county and can move the total by thousands of dollars, and FHA and most VA loans add a government fee on top.
Source: Freddie Mac, What Are Closing Costs and How Much Will I Pay? (February 26, 2026) (opens in new tab), read October 8, 2026. Calculated in your browser from the figures you enter.
| Home Price | Est. Closing Costs (3%) | Down Payment (10%) | Total Cash to Close |
|---|---|---|---|
| $200,000 | $6,000 | $20,000 | $26,000 |
| $300,000 | $9,000 | $30,000 | $39,000 |
| $400,000 | $12,000 | $40,000 | $52,000 |
| $500,000 | $15,000 | $50,000 | $65,000 |
| $600,000 | $18,000 | $60,000 | $78,000 |
| $750,000 | $22,500 | $75,000 | $97,500 |
3% is a planning figure inside Freddie Mac's range: buyer closing costs generally run 2% to 5% of the purchase price (Freddie Mac, February 26, 2026). Down payment shown at 10%; your actual down payment depends on loan type. See our Down Payment Guide for a complete analysis.
Budget Rule of Thumb
Plan your total cash to close as down payment + 3% to 5% of the home price for closing costs. If you are buying a $400,000 home with 10% down, budget $52,000 to $60,000 total -- not just the $40,000 down payment. For help determining how much house fits your budget, see our How Much House Can I Afford? guide.
How Closing Costs Vary by State
Where you buy has a major impact on what you pay at closing. State-level variation is primarily driven by four factors:
- Transfer taxes -- the single largest variable, ranging from $0 to over 2% of the sale price
- Attorney requirements -- required or customary in some states, optional in others
- Title insurance regulation -- some states set rates, others allow competition
- Property tax rates -- affect the amount held in prepaid escrow
No official source publishes total closing costs by state, so we don't print state estimates. The transfer tax is the one state-level cost you can look up exactly: the transfer tax examples above show how much it can move your total, and who customarily pays it. Your Loan Estimate lists your state and local taxes in Section E on page 2.
Closing Costs by Loan Type: FHA, VA, and Conventional
The type of mortgage you choose affects both your down payment and your closing costs. Government-backed loans (FHA and VA) offer lower down payments but add program-specific fees that can increase your total cost at closing.
| Fee | Conventional | FHA | VA |
|---|---|---|---|
| Origination fee | 0.5%-1% of the loan | 0.5%-1% of the loan | 0.5%-1% of the loan |
| Appraisal | Varies; on your Loan Estimate | Varies; on your Loan Estimate | $650-$1,500, set by VA for your county |
| UFMIP / Funding fee | None | 1.75% of loan amount | 1.25%-3.3% of loan amount (2.15% first use, 3.3% later use, at 0% down) |
| Title insurance | Required | Required | Required |
| Transfer taxes | Varies by state | Varies by state | Varies by state |
| Discount points | Optional | Optional | Optional |
| Median buyer-paid loan costs, 2023 | $6,684 (all home-purchase loans) | $11,368 | $7,530 |
Sources: median loan costs from the CFPB, 2023 Mortgage Market Activity and Trends (December 2024), from 2023 HMDA data. They count lender charges, third-party charges such as appraisal and title, and discount points paid by the buyer; they don't count transfer taxes, prepaid items or escrow deposits, which come on top. FHA's median includes the 1.75% upfront premium. VA appraisal fees are from VA's Appraisal Fees and Timeliness schedule, effective May 1, 2026 (single-family homes). UFMIP from HUD Mortgagee Letter 2023-05; VA funding fee from VA; origination range from Freddie Mac (February 26, 2026). Checked September 2026.
FHA UFMIP and VA funding fee can both be financed into the loan to reduce cash at closing. Disabled veterans are exempt from the VA funding fee.
Financing Government Fees
Both FHA and VA allow their program-specific fees to be rolled into the loan. This reduces your cash at closing but increases your loan balance and monthly payment. On a $386,000 FHA loan (3.5% down on $400,000), financing the 1.75% UFMIP adds approximately $6,755 to your loan balance. For a detailed comparison of FHA requirements, see our FHA Loan Requirements 2026 guide. To understand how PMI affects conventional loans, see Understanding PMI.
5 Strategies to Reduce Your Closing Costs
Not all closing costs are fixed. Here are five proven strategies that can save you hundreds to thousands of dollars at the closing table.
Strategy 1: Compare Loan Estimates from Multiple Lenders
The single most effective way to reduce closing costs is to shop multiple lenders. Get Loan Estimates from at least 3 lenders -- the standardized 3-page form makes apples-to-apples comparison straightforward.
Focus on Section A (origination charges) and Section B (services you cannot shop for) on page 2 of the Loan Estimate. Lender fees -- origination, underwriting, and processing -- are the most negotiable. Use competing Loan Estimates as leverage to negotiate lower fees. According to the Consumer Financial Protection Bureau, borrowers who compare multiple lenders typically save significantly on their mortgage.
To understand how lender fees affect your true borrowing cost, see our guide on APR vs. Interest Rate.
Strategy 2: Shop for Title Insurance
Title insurance prices differ between providers, and title services are listed in Section C of your Loan Estimate as services you can shop for. In most states, the buyer can choose the title insurance company -- you are not required to use the one your real estate agent or lender suggests.
- Get quotes from at least 2 to 3 title companies
- Ask about bundled discounts if you purchase both lender's and owner's title policies from the same provider
- Some states regulate title insurance rates, which limits shopping opportunities -- check your state's rules
Strategy 3: Ask the Seller for Closing Cost Concessions
Seller concessions are payments the seller makes toward your closing costs, typically deducted from the sale proceeds. Each loan type limits how much the seller can contribute:
- Conventional loans: up to 3% of the sale price (with less than 10% down), 6% (with 10%-25% down), or 9% (with 25%+ down)
- FHA loans: up to 6% of the sale price
- VA loans: up to 4% of the sale price
In a buyer's market, sellers may agree to contribute toward your closing costs to complete the deal. In a competitive seller's market, concessions are less common but still worth requesting, especially if the property has been listed for an extended period.
Strategy 4: Consider a No-Closing-Cost Mortgage
Some lenders offer to cover your closing costs in exchange for a higher interest rate; how much higher varies by lender, so ask each lender what its credit does to your rate. This reduces cash needed at closing but increases your monthly payment for the life of the loan.
This option is best for buyers who expect to sell or refinance before the break-even point. The breakeven point is when the cumulative cost of the higher rate exceeds the closing costs you avoided paying upfront. Beyond that point, you would have been better off paying closing costs at the start.
Use our Mortgage Payment Calculator to model the monthly payment difference between a standard-rate mortgage with closing costs and a higher-rate no-closing-cost option.
Strategy 5: Time Your Closing Strategically
Closing at the end of the month reduces your prepaid interest charge. Prepaid interest covers the days from your closing date through the end of that month, counting the closing day itself.
- Closing on the 28th of a 30-day month: 3 days of prepaid interest (the 28th through the 30th)
- Closing on the 15th: 16 days of prepaid interest
On a $400,000 loan at 6.5%, each day of prepaid interest costs approximately $71. Closing 13 days earlier adds roughly $923 to your closing costs. However, do not delay a closing solely for this savings -- the cost of a delayed closing (rate lock expiration, seller frustration) can exceed the prepaid interest savings.
Closing Cost Assistance Programs
If you are short on cash to close, help may be available beyond seller concessions -- especially for first-time buyers and households that meet income limits. According to the Consumer Financial Protection Bureau, many states and local organizations offer programs that help first-time buyers with a down payment or closing costs.
State and Local Housing Programs
State housing finance agencies, local governments, and nonprofits run most of these programs. They commonly take the form of grants, forgivable loans, or low-interest second loans, sometimes bundled with down payment assistance. Eligibility, amounts, and repayment terms differ program by program -- many set income limits and purchase-price caps -- so check the specific terms, including whether any of the money must be repaid when you sell or refinance. A HUD-approved housing counseling agency can point you to the programs in your area; the CFPB and HUD links in the Sources section below will help you find one.
Employer Housing Benefits
Some employers offer homebuying help as an employee benefit. If you are not sure whether yours does, ask your HR or benefits team before you apply for a mortgage, since some programs must be used with specific lenders.
Lender Credits
A lender credit is money your lender puts toward your closing costs in exchange for a higher interest rate. As the CFPB explains, you pay less up front but more over time, because the higher rate applies for as long as you keep the loan. This is the mechanism behind the no-closing-cost mortgage in Strategy 4 above, and it is separate from seller concessions. Some lenders also use the term for credits that are unconnected to your rate -- a temporary promotion, for example -- so ask each lender what a credit will do to your rate before you compare offers.
For a broader overview of first-time buyer programs, see our First-Time Homebuyer Guide 2026.
Closing Costs vs. Down Payment: Understanding the Difference
These two expenses are often confused, but they serve entirely different purposes:
- Down payment: the portion of the home price you pay in cash. This becomes your immediate equity in the home. For example, 10% down on a $400,000 home = $40,000 in equity from day one
- Closing costs: one-time transaction fees paid to service providers (lenders, attorneys, title companies, government agencies). This money does not become equity in your home
Both are due at closing, paid together as your "cash to close" total.
Common Budgeting Mistake
Saving exactly your down payment amount and being surprised by $8,000 to $20,000 in additional closing costs on a $400,000 home is one of the most common first-time homebuyer mistakes. Always budget down payment + 3% to 5% of the home price for closing costs. For a $400,000 home with 10% down, that means saving $52,000 to $60,000 -- not just $40,000.
You can reduce your down payment (FHA allows as little as 3.5%), but closing costs are harder to eliminate entirely -- some fees are non-negotiable. For a complete analysis of down payment options by loan type, see our How Much Down Payment for a House guide.
If you are evaluating whether buying makes financial sense compared to renting, our Rent vs. Buy Decision Guide factors in closing costs as part of the total cost of homeownership.
The Closing Process: What to Expect
Knowing the order of events -- and the two federal disclosure deadlines -- helps you catch errors while they are still cheap to fix.
Key Documents and Timeline
- Loan Estimate (within 3 business days of your application): your first itemized look at expected closing costs. Collect one from each lender you are considering and compare them side by side.
- Home inspection (after your offer is accepted): not required by lenders but strongly recommended; findings can reopen negotiations on price or repairs.
- Appraisal (ordered by your lender): an independent estimate of the home's value, which the lender uses to confirm the property supports the loan.
- Title search and title insurance (during underwriting): the title company confirms clear ownership and prepares the lender's and, if you buy one, owner's policies.
- Closing Disclosure (at least 3 business days before closing): your final, itemized statement of costs. Compare it line by line with your Loan Estimate.
- Final walk-through (shortly before closing): confirm the property is in the condition you agreed to buy.
- Closing day: sign the documents, pay your cash to close (usually by wire transfer or cashier's check -- before wiring, confirm the instructions with your settlement agent in person or at a phone number you already have, never one from an email), and receive the keys.
Review Your Closing Disclosure Carefully
Use the three business days to compare the Closing Disclosure against your Loan Estimate; the CFPB's Closing Disclosure explainer(opens in new tab) walks through each section. Federal rules limit how much some estimates can change. Under Regulation Z (12 CFR 1026.19(e)(3)), the lender's own charges generally cannot exceed what the Loan Estimate showed. Certain third-party charges and recording fees generally cannot rise by more than 10% in total. Both limits give way when a valid changed circumstance leads to a revised estimate. If a number moved and nobody explained why, ask before you sign.
Frequently Asked Questions
Buyer closing costs generally range from 2% to 5% of the home purchase price, according to Freddie Mac. On a $400,000 home, that is $8,000 to $20,000 in closing costs in addition to your down payment. The exact amount depends on your state, lender, loan type, and the specific fees charged by your title company and other service providers.
Both buyers and sellers pay closing costs, but they cover different items. Buyers pay lender fees, title insurance, prepaid taxes and insurance, and government recording fees. Sellers typically pay real estate agent commissions, their portion of transfer taxes, and any seller concessions toward the buyer's costs.
Yes, some closing costs are negotiable. Lender origination fees, underwriting fees, and processing fees can often be reduced by comparing Loan Estimates from multiple lenders. Title insurance is shoppable in most states. Government fees and prepaid items (taxes, insurance) are generally fixed and non-negotiable.
In some cases, yes. FHA loans allow the 1.75% UFMIP to be financed into the loan. VA loans allow the funding fee to be financed. Some conventional lenders offer "no-closing-cost" mortgages that cover fees in exchange for a higher interest rate. However, financing closing costs increases your loan balance and monthly payment.
States and cities with high transfer taxes, and places where an attorney customarily handles the closing, tend to have the highest closing costs. Transfer taxes are the biggest swing: some states, such as Texas and Missouri, charge none, while Philadelphia's combined rate is 4.578% and Delaware's is 4% (customarily split between buyer and seller). No official source publishes total closing costs by state, so check your own state and local transfer tax, and who pays it, early.
FHA loans have similar base closing costs to conventional loans but add the Upfront Mortgage Insurance Premium (UFMIP) of 1.75% of the loan amount. On a $400,000 loan, that adds $7,000 to closing costs. The UFMIP can be financed into the loan to reduce cash at closing. See our FHA Loan Requirements 2026 guide for details.
Five strategies: (1) Compare Loan Estimates from 3 or more lenders to negotiate lender fees, (2) shop for title insurance from multiple providers, (3) ask the seller for closing cost concessions, (4) consider a no-closing-cost mortgage if you expect to move or refinance before its break-even point, and (5) close at the end of the month to reduce prepaid interest.
The down payment is the cash portion of the home price you pay, which becomes your immediate equity. Closing costs are one-time transaction fees paid to lenders, attorneys, title companies, and government agencies -- this money does not become equity. Both are due at closing. Budget your total cash-to-close as: down payment + 3% to 5% of the home price for closing costs.
Ready to Calculate Your Total Home Purchase Cost?
Enter your home price, down payment, interest rate, and local tax and insurance costs into our free Mortgage Payment Calculator. See your full monthly payment breakdown, total cost over the life of the loan, and amortization schedule -- so you can budget for both your down payment and closing costs with confidence. Our mortgage payment calculator has no methodology page of its own, since it runs the same amortization formula our mortgage calculator methodology page documents; the closing-cost estimates above are separate percentage-of-price ranges, not part of that formula.
Sources
- Consumer Financial Protection Bureau -- Closing on a Mortgage(opens in new tab)
- CFPB -- What Is a Loan Estimate?(opens in new tab)
- U.S. Department of Housing and Urban Development -- Buying a Home(opens in new tab)
- HUD -- FHA Single Family Insurance Programs(opens in new tab)
- U.S. Department of Veterans Affairs -- VA Loan Funding Fee and Closing Costs(opens in new tab)
- Fannie Mae -- Originating & Underwriting Mortgage Products(opens in new tab)
- NYC Department of Finance -- Real Property Transfer Tax (RPTT); imposed on the grantor under NYC Administrative Code § 11-2102(opens in new tab)
- New York State Department of Taxation and Finance -- Real Estate Transfer Tax (base tax paid by the grantor; mansion and supplemental taxes paid by the grantee)(opens in new tab)
- National Association of REALTORS -- Housing Statistics(opens in new tab)
- National Association of REALTORS -- The Facts: settlement practice changes effective August 17, 2024 (offers of compensation off the MLS; written buyer agreements before touring)(opens in new tab) -- checked September 26, 2026
- CFPB -- Closing Disclosure Explainer (provided three business days before closing)(opens in new tab) -- checked September 26, 2026
- CFPB -- Regulation Z, 12 CFR 1026.19(e)(3): Loan Estimate good-faith and 10% tolerance rules(opens in new tab) -- checked September 26, 2026
- CFPB -- What Are Lender Credits?(opens in new tab) -- checked September 26, 2026
- CFPB -- Programs for First-Time Home Buyers (down payment and closing cost help; HUD-approved housing counselors)(opens in new tab) -- checked September 26, 2026
- CFPB -- Mortgage Closing Scams: Protect Your Closing Funds(opens in new tab) -- checked September 26, 2026
- Freddie Mac -- What Are Closing Costs and How Much Will I Pay? (February 26, 2026)(opens in new tab) -- closing costs of 2% to 5% of the purchase price, origination fees of 0.5% to 1% of the loan, and the $2,110 average homeowners insurance premium; checked September 27, 2026
- CFPB -- 2023 Mortgage Market Activity and Trends (December 2024)(opens in new tab) -- median total loan costs on 2023 home-purchase loans: $6,684 overall, $11,368 FHA, $7,530 VA; checked September 27, 2026
- U.S. Department of Veterans Affairs -- VA Appraisal Fees and Timeliness (effective May 1, 2026)(opens in new tab) -- single-family appraisal fees of $650 to $1,500 by county; checked September 27, 2026
- CFPB -- Regulation X, 12 CFR 1024.17: escrow accounts and the one-sixth cushion limit(opens in new tab) -- checked September 27, 2026
Important Disclaimer
Disclaimer: This content is for educational and informational purposes only and does not constitute financial, tax, or legal advice. Closing costs vary significantly by state, lender, loan type, and property. The figures in this guide come from the sources listed above and are national figures for educational purposes. Your actual closing costs will be itemized on the Loan Estimate (provided within 3 business days of applying) and the Closing Disclosure (provided at least 3 business days before closing). Review these documents carefully and ask your lender to explain any fees you do not understand. Individual circumstances vary, and you should consult with a qualified mortgage professional before making home buying decisions. Data current as of September 2026.
Content reviewed by Mark at Markco Labs. Learn more about our accuracy standards.