Typical Closing Costs When Buying a Home

Jar of money with a loan tag

It’s an exciting time when buyer’s are ready to purchase a home, but many times they forget to consider the costs beyond just the down payment. Closing costs can be scary because of the unknown. So we want to help clarify the unknown for you.

Typical closing costs for a buyer are:

  • Origination fee to lender
  • Discount points to lender
  • PMI or Mortgage insurance (if you’re putting less than 20% down)
  • Appriasal fee
  • Title search
  • Title insurance
  • Inspection (paid prior to closing)
  • Survey
  • Flood certification fee
  • Recording fee
  • Transfer fee
  • Doc stamps
  • Intangible tax
  • Prepaid interest
  • Prorated Property tax
  • Homeowners’ insurance
  • Homeowners’ Association transfer fee (if applicable)

These fees can vary depending on your loan type, lender, down payment amount, and property.

Many times these closing costs can be negotiated with the sellers and they can contribute to paying for some or all of it to lessen the burden for the buyers.

Here’s a great infographic that helps cover the closing costs a buyer can expect to pay when they purchase a home outside of the down payment.

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