Because customs vary significantly from area to area, it is difficult to provide estimates for closing costs that fit everywhere. One rule of thumb for buyers is to figure that at least an additional 3 percent will be added to the price of your home through settlement expenses. In some relatively high-tax areas of the country, 5 to 6 percent is more common.
On the page below, is a sample range of closing cost charges for specific services on a $75,000 home purchase with either a 10 percent down payment or a 20 percent down payment.
Down Payment 10 % 20%
Loan Application Fees $75 to $300 $75 to $300
Loan Origination Fees $675 $600
Points $675 to $2,025 $600 to $1,800
Mortgage Insurance $338 to $675 $338 to $675
Title Search/Insurance Fees $450 to $600 $450 to $600
Attorney's Fees $500 to $1,500 $500 to $1,500
Appraisal $100 to $300 $100 to $300
Homeowners Insurance $300 to $600 $300 to $600
Inspections $175 to $350 $175 to $350
Survey $125 to $300 $125 to $300
Notary Fees $10 to $25 $10 to $25
Recording Fees $40 to $60 $40 to $60
State/Local Transfer Fees $75 to $1,125 $75 to $1,125
TOTAL $3,438 to $8,235 $2,950 to $7,260
Remember the key rules: think about settlement fees before you submit your sales offer; shop around for competitive prices for as many services as possible; and never hesitate to negotiate.
This page has been prepared to help you make the important decisions involved in buying and financing your home. Because real estate settlement practices vary depending in state law and local custom, the information contained in this brochure should not be viewed as a replacement for professional advice. Talk with mortgage lenders, real estate agents, attorneys, and other advisors for information about lending practices, mortgage instruments, and your own interests before you commit to a specific loan.
