Closing Costs
Closing costs are the one-time fees you pay to finalize a home purchase or refinance — typically 2% to 5% of the loan amount — on top of your down payment. They include lender fees, appraisal, title insurance, taxes, and escrow setup, and they're due at the closing table.
On a $400,000 home that is roughly $8,000 to $20,000 in cash, due at closing and on top of the down payment. The total splits into lender charges — origination, points, credit and appraisal fees — and third-party or prepaid items such as title insurance, recording fees, and the first instalments of property tax and homeowners insurance placed into escrow. Only some are negotiable, and the Loan Estimate is standardised precisely so competing offers can be compared line by line. Three ways to reduce the cash needed: seller concessions, which loan programmes cap; lender credits, which raise your rate in exchange; or rolling costs into the balance, which means borrowing them at your mortgage rate for thirty years.
Put it to work
Down Payment Calculator
See the cash you need upfront to buy a home — down payment plus closing costs — and how many months of saving it takes to get there.
Mortgage Calculator
Estimate your monthly mortgage payment with taxes, insurance, PMI and HOA — plus total interest and a full amortization breakdown. Free, fast, no signup.
Mortgage Refinance Calculator
Should you refinance? Compare payments, find your break-even month on closing costs, and see the honest lifetime cost — including the term-reset trap.