Closing Cost Calculator

Last updated July 2, 2026

Closing costs are one of the most commonly underestimated expenses in a home purchase. The Consumer Financial Protection Bureau estimates they typically run 2 to 5 percent of the loan amount, meaning a $350,000 mortgage can carry $7,000 to $17,500 in fees at closing — on top of the down payment. These costs include loan origination fees, appraisal fees, title insurance, title search fees, attorney fees in states that require them, prepaid property taxes and homeowners insurance placed into escrow, prepaid mortgage interest for the days remaining in the closing month, government recording fees, and sometimes transfer taxes paid to the state or county.

Two of the largest and most variable closing costs are the lender's origination fee and title insurance. Origination fees, which cover the lender's cost to process and underwrite the loan, typically run 0.5 to 1 percent of the loan amount and are sometimes expressed as "points." Title insurance — a one-time premium that protects the lender (and optionally the buyer) against title defects — varies significantly by state and purchase price, but often runs $1,000 to $2,500. Buyers can reduce closing costs through negotiation: sellers frequently agree to contribute toward closing costs as part of a purchase offer, particularly in slower markets, and lenders must provide a Loan Estimate within three business days of application that details all expected fees. Comparing Loan Estimates from multiple lenders is one of the most effective ways to reduce what you pay at the table.

Budgeting 3 to 5 percent of the purchase price for closing costs, on top of your down payment. Request Loan Estimates from at least two lenders and compare them line by line — fees can vary significantly for the same loan. Ask your real estate agent whether a seller concession toward closing costs is reasonable in your market.