Closing Cost Calculator

Calculate estimated closing costs for your home purchase. Get detailed breakdown of lender fees, title insurance, escrow costs, and government taxes to budget for your closing.

Property & Loan Details

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Leave blank to use 80% of home price

Optional Services

Additional Costs (Optional)

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Closing Cost Breakdown

Enter your home purchase details to calculate estimated closing costs and see detailed breakdown.

How to Use the Closing Cost Calculator

  1. Enter Property Details: Input home purchase price and loan amount
  2. Select Loan Type: Choose between conventional, FHA, VA, or USDA loans
  3. Choose Your State: Select state for accurate transfer tax calculations
  4. Add Optional Services: Include home inspection and appraisal if needed
  5. Customize Costs: Add any additional fees specific to your situation
  6. Review Breakdown: See detailed cost breakdown by category

Understanding Closing Cost Categories

Lender Fees

Origination Fee: Typically 0.5-1% of loan amount for processing your mortgage
Underwriting Fee: $500-800 for reviewing and approving your loan application
Processing Fee: $300-500 for handling loan documentation
Credit Report: $25-50 for pulling your credit history
Appraisal: $400-600 for professional property valuation

Title & Escrow

Title Insurance: Protects against ownership disputes and liens
Title Search: Verifies legal ownership and property history
Escrow Fee: Third-party handling of funds and documents
Recording Fee: Government fee for recording the deed

Third-Party Services

Home Inspection: Professional assessment of property condition
Pest Inspection: Check for termites and other pest damage
Survey: Confirms property boundaries and improvements
Attorney Fees: Legal representation (required in some states)

Prepaids & Escrows

Property Tax: Usually 6 months paid in advance to escrow
Home Insurance: First year premium plus 2 months escrow
Interest: Prorated interest from closing to first payment
HOA Fees: Homeowners association dues if applicable

Tips to Reduce Closing Costs

Negotiation Strategies

Ask seller to pay closing costs (seller concessions)
Shop around for title insurance and compare rates
Negotiate lender fees and ask for fee waivers
Consider a no-closing-cost loan (higher rate trade-off)

Smart Timing

Close at month-end to minimize prepaid interest
Bundle services like inspection and appraisal
Review Loan Estimate and negotiate before closing
Bring certified funds to avoid wire transfer fees

Frequently Asked Questions

How much should I budget for closing costs?

Closing costs typically range from 2-5% of the home purchase price. For a $400,000 home, expect $8,000-$20,000 in closing costs depending on your location, loan type, and specific circumstances.

Can I roll closing costs into my loan?

Some closing costs can be rolled into your loan amount, but this increases your monthly payment and total interest paid. Alternatively, you can negotiate seller concessions or choose a no-closing-cost loan with a higher interest rate.

When do I get the final closing cost estimate?

You'll receive a Closing Disclosure at least 3 business days before closing. This document shows the final terms and closing costs. Compare it to your Loan Estimate to identify any significant changes.

Are closing costs tax deductible?

Some closing costs are tax deductible, including mortgage interest, property taxes, and loan origination fees (points). Consult a tax professional for specific advice about your situation.

Do VA and FHA loans have different closing costs?

VA loans don't allow certain fees and have a funding fee instead of PMI. FHA loans have upfront and annual mortgage insurance premiums. Both may have slightly different fee structures than conventional loans.