Closing Costs Calculator
Estimate what you'll pay in closing costs when buying a home. Figures are based on US averages — your lender's Loan Estimate will have exact numbers.
Your purchase details
Cost breakdown
What are closing costs?
Closing costs are fees paid when a real estate transaction is finalized — separate from your down payment. They cover services from lenders, title companies, attorneys, and government agencies. In the US, buyers typically pay 2–5% of the purchase price in closing costs, which on a $400,000 home means $8,000–$20,000 in cash needed at the table in addition to your down payment.
Who pays closing costs — buyer or seller?
Buyers pay most closing costs, particularly lender fees, title insurance, and prepaid items. Sellers typically cover real estate agent commissions (not included in this calculator) and sometimes transfer taxes depending on the state.
In a buyer's market, it's common to negotiate seller concessions — where the seller credits you money at closing to cover some of your costs. Conventional loans allow up to 3–9% in seller concessions depending on your down payment; FHA allows up to 6%.
Which closing costs are negotiable?
Lender fees — origination, underwriting, and application fees — are the most negotiable, especially if you have strong credit or are comparing multiple lenders. Third-party services like title search and home inspection can be shopped around independently. Government recording fees and transfer taxes are set by law and cannot be negotiated.
Can closing costs be rolled into the loan?
Sometimes. FHA and VA loans allow certain fees to be financed into the loan amount. Some conventional lenders offer "no-closing-cost" mortgages where fees are absorbed into a slightly higher interest rate. Rolling costs into the loan reduces cash needed upfront, but means you pay interest on those fees for the life of the loan.
Frequently asked questions
Most closing costs are not directly deductible in the year paid. However, mortgage points (prepaid interest paid at closing) may be deductible if you itemize deductions. Prorated property taxes paid at closing are also deductible. Consult a tax professional for your specific situation.
Your lender must provide a Loan Estimate within 3 business days of your mortgage application. Three days before closing, you'll receive a Closing Disclosure with final figures. Compare the two carefully — certain fees cannot increase at all, while others are capped at a 10% increase from the estimate.
Yes, significantly. Transfer taxes vary widely — some states charge under 0.1% while others charge over 2%. Several states (including New York, Florida, and Georgia) require an attorney at closing; others don't. Local property tax rates also affect your escrow deposit. This calculator uses national averages — your actual figures will reflect your state and county.
FHA loans add an upfront mortgage insurance premium (MIP) of 1.75% of the loan amount — a significant extra cost. On a $320,000 loan, that's $5,600 added to closing. VA loans for eligible veterans add a funding fee (typically 2.3% for first use) instead of mortgage insurance. Conventional loans with 20% down avoid both of these fees entirely.