Closing Costs Explained
Typically 2%–5% of your home's purchase price. Use our calculator and review every fee category.
Closing Costs Explained
Estimate Your Closing Costs
Use the calculator below to get a personalized estimate based on your purchase price and down payment. Then scroll down to see every fee category explained in detail. Tap any fee to learn more about what it covers, who sets the rate, and how to reduce it. Costs vary by state and lender — this is an estimate, not a quote.
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Low Estimate (2%)
$7,000
Calculated Estimate
$10,340
High Estimate (5%)
$17,500
View Estimated Breakdown
* This calculator provides estimates only. Actual costs vary by state, county, lender, and transaction details. Consult your settlement agent for an accurate Closing Disclosure.
Where Your Closing Costs Go
Based on a $350,000 home with $8,750 in total closing costs (2.5%). Hover or tap any segment for details.
All Closing Costs by Category
Tap any fee to learn what it covers, whether you can negotiate it, and how to reduce it.
Loan-Related Fees
Property Evaluation
Title & Insurance
Administrative & Legal
Taxes & Other
Who Pays What? It Depends on Your State
Closing cost responsibilities vary significantly by state and are often negotiable. In some states, the seller traditionally pays for the owner's title insurance policy. In others, the buyer pays. Your purchase agreement should specify who pays each fee. Here are the general patterns:
Typically Paid by the Buyer
- Loan origination and discount points
- Home inspection and appraisal
- Lender's title insurance policy
- Homeowner's insurance (first year)
- Prepaid property taxes and interest
- Private mortgage insurance (PMI) if applicable
Typically Paid by the Seller
- Real estate agent commissions (negotiated separately — no standard rate since 2024 NAR settlement)
- Owner's title insurance (in some states)
- Transfer taxes (varies by state/county)
- Any agreed-upon repair credits
- Prorated property taxes owed
7 Ways to Reduce Your Closing Costs
Tap any card to see the full strategy with step-by-step instructions and potential savings.
Key Federal Regulations Protecting You
RESPA (Real Estate Settlement Procedures Act)
Requires lenders to disclose all settlement costs. Prohibits kickbacks and referral fees between settlement service providers. Gives you the right to shop for your own title insurance and settlement services.
Source: CFPB
TRID (TILA-RESPA Integrated Disclosure)
Requires two standardized disclosure forms: the Loan Estimate (within 3 business days of application) and the Closing Disclosure (at least 3 business days before closing). Limits how much certain fees can increase between estimates.
Source: CFPB
Tolerance Categories
Under TRID, some fees cannot increase at all (lender fees, transfer taxes), some can increase up to 10% in aggregate (services you didn't shop for, recording fees), and some have no limit (services you chose, prepaid items, escrow).
Source: CFPB
