Closing Cost Calculator
Estimate your total buyer closing costs with an itemized breakdown — and see which fees are negotiable. Closing costs typically run 2%–5% of the purchase price and must be paid in addition to your down payment.
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What Are Closing Costs and Who Pays Them?
Closing costs are fees and expenses paid at the time of settlement — when ownership of the home legally transfers from seller to buyer. They are separate from the down payment, though both are due on the same day. Many first-time buyers are surprised to learn that closing costs add 2%–5% of the purchase price on top of the down payment they've been saving for.
Closing costs fall into four main categories: lender fees (charged by your mortgage company), third-party fees (charged by service providers like title companies and appraisers), government fees (recording and transfer taxes set by law), and prepaids (upfront payments into escrow for taxes, insurance, and the first month's prepaid interest).
What's Actually Negotiable?
The most valuable negotiation is lender shopping. Lender fees — origination, underwriting, and processing fees — vary widely between lenders for the same loan. Getting three Loan Estimates from different lenders (required within 3 business days of application) and comparing Section A (lender fees) directly can save $1,000–$4,000 on a $400,000 purchase. This is the highest-leverage action available to buyers.
Title insurance and settlement fees are also worth shopping in most states. In states where these fees aren't regulated, different title companies may charge substantially different amounts for the same coverage. Your agent or attorney can help you identify which companies to compare.
Transfer taxes, recording fees, appraisal fees, and credit report fees are largely fixed — set by law or by the government agency involved. These are not negotiable.
For context on your full cash-to-close picture, pair this with the home affordability calculator (down payment sizing and DTI) and the mortgage points calculator if you're deciding whether to buy discount points — points are paid at closing and are included in the total costs here.
Frequently Asked Questions
How much are closing costs for a buyer?
Typically 2%–5% of the purchase price. On a $400,000 home, that's $8,000–$20,000. Higher-cost states with transfer taxes (NY, NJ, CT, MD) push toward the higher end. States with no transfer tax and competitive title markets run closer to 2%–3%.
Can closing costs be rolled into the loan?
Generally not with conventional loans — closing costs must be paid at closing. VA loans can finance the VA funding fee; FHA loans can finance the upfront MIP. "No-closing-cost" mortgages exist, but they roll costs into a higher rate, so you pay monthly instead of upfront — often more expensive long-term.
Can the seller pay my closing costs?
Yes — seller concessions are a common negotiating point. Conventional loans allow 3%–9% in seller contributions (depending on down payment). FHA allows 6%; VA allows 4% plus typical costs. Specify seller concessions in the purchase contract. In competitive markets, sellers may decline; in slower markets, this is a standard ask.
What is the Closing Disclosure?
The Closing Disclosure is a 5-page document your lender is required to provide at least 3 business days before closing. It itemizes all final costs, loan terms, and the exact amount you need to bring to closing. Compare it carefully to your Loan Estimate — lender fees should not have increased, and third-party fees should be close to estimates.
What's the difference between closing costs and prepaids?
Closing costs are fees paid for services (origination, title, appraisal). Prepaids are advance payments into escrow — upfront property tax (typically 2–6 months), homeowner's insurance (often 1 full year paid upfront), and prepaid interest (the interest due from closing date to the end of the month). Prepaids aren't technically fees, but they increase total cash needed at closing.