How much are closing costs for a buyer?

Buyer closing costs typically range from 2% to 5% of the loan amount. On a $315,000 loan, that's $6,300–$15,750. Costs include loan origination, appraisal, title insurance, escrow fees, prepaid interest, insurance, and property tax escrow.

Who pays closing costs — buyer or seller?

Both parties pay closing costs. Buyers typically pay 2-5% of the loan amount for lender fees, title, and prepaid items. Sellers typically pay 5-9% of the sale price, primarily for real estate agent commissions (5-6%) plus transfer taxes and title insurance.

Can closing costs be rolled into the mortgage?

Some lenders offer no-closing-cost loans where fees are rolled into the loan balance or offset by a higher interest rate. This can make sense if you plan to move or refinance within 3-5 years, but you'll pay more interest over time.

Can I negotiate closing costs?

Yes. Shop multiple lenders to compare origination fees. Ask the seller for closing cost concessions (seller credits). Compare title and escrow companies. Lender credits (accepting a higher rate) can offset closing costs. Third-party fees like appraisal and title are negotiable to some extent.

What are prepaid closing costs?

Prepaids are not fees but rather prepayments of future expenses: prepaid interest (from closing to month end), first year homeowners insurance, and 2-3 months of property tax escrow. These are collected at closing to fund your escrow account and cover initial costs.

Closing Costs Calculator

Get an itemized estimate of buyer and seller closing costs, including state-specific transfer taxes, so you know exactly how much cash you need at closing.

Home Price

Loan Amount

State

Property Tax Rate

Total Buyer Closing Costs

$10,294

2.9% of home price

Loan Origination Fee: $2,800

Appraisal: $500

Lender's Title Insurance: $1,750

Title Search: $300

Escrow / Settlement Fee: $700

Recording Fee: $125

Credit Report: $30

Survey Fee: $400

Home Inspection: $400

Prepaid Interest: $777

Prepaid Insurance: $1,200

Property Tax Escrow: $963

Transfer Tax (Buyer): $350

Down Payment

$70,000

Closing Costs

$10,294

Total Cash at Closing

$80,294

Costs as % of Price

2.9%

Itemized Buyer Closing Costs

Loan Origination Fee$2,800

Appraisal$500

Lender's Title Insurance$1,750

Title Search$300

Escrow / Settlement Fee$700

Recording Fee$125

Credit Report$30

Survey Fee$400

Home Inspection$400

Prepaid Interest$777

Prepaid Insurance$1,200

Property Tax Escrow$963

Transfer Tax (Buyer)$350

Total Closing Costs$10,294

How to Use This Closing Costs Calculator

Switch between Buyer Costs and Seller Costs using the tabs at the top.

Buyer Costs Tab

Enter your Home Price, Loan Amount, State, and Property Tax Rate. The calculator generates a full itemized breakdown of every closing cost you'll likely encounter, including lender fees, title costs, prepaid items, and state transfer taxes. The color-coded chart shows which costs are largest at a glance.

Seller Costs Tab

Enter just the Home Price and State. The calculator shows all typical seller-side costs — agent commissions (usually the biggest line item), title insurance, transfer taxes, and estimated repair credits — plus your estimated net proceeds after costs.

Note: These are estimates based on national averages and state-level data. Actual closing costs vary by lender, county, and negotiated terms. Always request a Loan Estimate from your lender for exact figures.

What's Included in Closing Costs

Typical Buyer Closing Costs (2–5% of loan amount):
• Loan origination fee: ~1% of loan amount
• Appraisal: $400–$700
• Lender's title insurance: ~0.5% of purchase price
• Title search: $200–$400
• Escrow/settlement fee: ~0.2% of purchase price
• Recording fees: $75–$200
• Credit report: $20–$50
• Home inspection: $300–$500
• Survey: $300–$700
• Prepaid interest: 15 days at closing rate
• Prepaid homeowners insurance: ~$1,200/yr
• Property tax escrow: 3 months
• Transfer taxes: 0%–2% (varies by state)

Typical Seller Closing Costs (5–9% of sale price):
• Seller's agent commission: ~3%
• Buyer's agent commission: ~2.5%
• Owner's title insurance: ~0.55%
• Transfer taxes: varies by state
• Escrow fee: ~0.2%
• Repair credits: negotiated (~1%)

Example: Closing on a $350,000 Home in Texas

The Rodriguez Family — Houston, TX

The Rodriguez family is purchasing a $350,000 home with a $280,000 loan. Texas has no state income tax but does have no transfer tax. Their property tax rate is 2.1%.

Home Price	$350,000
Loan Amount	$280,000
Down Payment (20%)	$70,000
Origination Fee (1%)	$2,800
Appraisal	$500
Title Insurance	$1,750
Escrow Fee	$700
Transfer Tax (TX)	$0
Prepaid Interest (15 days)	~$784
Tax Escrow (3 months)	$1,838
Prepaid Insurance	$1,200
Total Closing Costs	~$10,572
Total Cash at Closing	~$80,572

The seller in this transaction would pay approximately $19,750 in commissions plus $1,925 in owner's title insurance, netting around $328,000 after all costs.

Frequently Asked Questions

Buyer closing costs typically range from 2% to 5% of the loan amount. On a $280,000 loan, that's $5,600–$14,000. The spread is wide because costs vary significantly by state (particularly transfer taxes) and by lender (origination fees). High-tax states like New York, Pennsylvania, and Washington push costs toward the upper end, while Texas and states with no transfer tax keep costs lower.

Both parties pay closing costs, but different line items. Buyers cover lender fees, title insurance for the lender, appraisal, and prepaid items. Sellers typically cover real estate agent commissions (5–6% combined), owner's title insurance, and their share of transfer taxes. In buyer's markets, it's common to negotiate seller concessions — the seller agrees to pay some of the buyer's closing costs as part of the deal.

Most lender fees can be rolled into the loan through a no-closing-cost mortgage, which either adds the costs to your loan balance or increases your interest rate (lender credits). On a $280,000 loan with $8,000 in costs, rolling them in at 6.75% adds about $53/month to your payment. This makes sense if you plan to sell or refinance within 5 years. If you'll stay long term, paying closing costs upfront costs less overall.

Yes — several closing costs are negotiable. Shop at least 3 lenders and compare Loan Estimates (required by law to be provided within 3 days of application). The origination fee (1% is common but not fixed) and some third-party services like title and escrow can be shopped. Ask the seller for closing cost concessions — especially in a buyer's market. Also ask your lender about "float down" options if rates have dropped since you locked.

Prepaids are not fees — they're future expenses you pay upfront at closing. They include: (1) Prepaid interest from your closing date to the last day of the month, (2) First year of homeowners insurance paid in full, and (3) 2–3 months of property taxes deposited into your escrow account. Prepaids are real cash out of pocket but you'd pay these costs anyway — you're just paying them early. They typically add $3,000–$5,000 to your closing costs.