Closing Cost Calculator

Closing costs are the most underestimated expense in homebuying. They typically run 2–5% of the purchase price — $7,600–$19,000 on a $380,000 home. This calculator breaks down every fee so there are no surprises at the closing table.

Your purchase

Purchase price

Down payment

Loan type

Property state (tax rate)

Total closing costs

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Estimated all-in

Cash needed at closing

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Down payment + closing costs

As % of purchase price

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Typical range: 2–5%

Prepaid items

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Tax + insurance escrow

What Are Closing Costs?

Closing costs are fees and prepaid expenses paid at the time of closing a real estate transaction. They fall into two categories: lender fees (origination, underwriting, points) and third-party fees (appraisal, title search, title insurance, attorney, recording). Most of these are negotiable to some degree.

On top of fees, buyers typically prepay 2–3 months of property taxes and homeowner’s insurance into an escrow account, plus prepaid interest from closing date to month-end. These prepaid items can add $3,000–$6,000 to your cash-to-close figure.

How to Reduce Closing Costs

Shop lenders: Origination fees and lender costs vary widely. Getting 3–5 Loan Estimates lets you compare apples to apples.
Negotiate seller concessions: In a buyer’s market, sellers may pay 2–3% of purchase price toward your closing costs.
Close at end of month: Reduces prepaid interest (you pay interest from closing date to month-end).
Shop title insurance: In states where it’s allowed, you can shop for your own title company.
No-closing-cost mortgage: Lender covers closing costs in exchange for a slightly higher rate — good if you plan to move or refinance within 5 years.

What is an origination fee?

📚 An origination fee is what the lender charges to process and underwrite your loan. It typically ranges from 0.5%–1% of the loan amount. Some lenders charge a flat fee; others charge a percentage. It appears on your Loan Estimate under “Loan Costs — Origination Charges.” This is one of the most negotiable closing costs.

What is title insurance?

📚 Title insurance protects against defects in the property title discovered after closing — outstanding liens, ownership disputes, or fraud. There are two policies: lender’s title insurance (required, protects the lender) and owner’s title insurance (optional but strongly recommended, protects you). It’s a one-time premium paid at closing, typically 0.5%–1% of the purchase price.