Estimate lender fees, third-party services, prepaid expenses and other common home-buying costs to get a clearer picture of how much cash may be needed in addition to your down payment.
The default amounts are examples only. Replace them with estimates from your lender, attorney, title company or local market when available.
Each amount can be adjusted above when you receive more precise estimates.
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Closing costs are expenses associated with completing a home purchase and obtaining a mortgage. They are separate from the purchase price itself and can include lender charges, third-party services, taxes, insurance and prepaid items.
Lender-related costs can include origination charges, underwriting or processing fees and optional discount points. The exact structure varies by lender and loan.
Buyers may encounter appraisal, inspection, title, settlement, attorney, recording and other transaction-related expenses.
Some money collected at closing is not technically a fee. For example, a lender may collect property-tax reserves, homeowners-insurance premiums or prepaid mortgage interest.
Closing costs and cash to close are not the same number. Cash to close generally includes the down payment plus applicable closing expenses, reduced by credits and amounts already paid.
Closing-cost rules and customary charges vary significantly by state, county, property, lender and loan program. Use actual Loan Estimate or Closing Disclosure figures when available.
Generally, yes. The down payment reduces the amount borrowed, while closing costs cover transaction expenses, lender charges and certain prepaid items. Both can contribute to the cash needed at closing.
Mortgage discount points are upfront charges that may be paid in exchange for a different interest rate. One point generally represents 1% of the loan amount, although pricing and rate effects vary.
A lender or closing agent may collect money for upcoming property-tax obligations or an escrow reserve. The number of months collected varies by closing date and loan.
Prepaid interest is interest that may be collected at closing for the period between the closing date and the beginning of the regular mortgage payment cycle. This calculator estimates it using the loan amount, entered mortgage rate and number of prepaid days.
Seller or lender credits may offset eligible closing expenses, subject to the terms of the transaction and applicable loan rules. Enter expected credits here to see their estimated effect.
Actual costs depend on the property, location, lender, loan program, title and settlement providers, taxes, insurance, closing date and other transaction details. Your lender and settlement provider will provide transaction-specific disclosures.
Replace the example values in this calculator with the relevant amounts from your own lender and service-provider estimates for a more useful comparison.