Depending on where you are purchasing property, the price of the property, your lender’s terms, the distribution of fees charged to buyer and/or seller (which can be part of your negotiation when you put an offer on a piece of property) typical closing costs on the purchase of real estate range anywhere between 3% to 7% of the purchase price. Your lender by law must supply you with a pre-settlement “Good Faith Estimate.” (GFE) It will not necessarily give you all of the actual costs; it should give you an idea. Make sure to ask your mortgage professional which costs may not be accurate and make sure you fully understand the GFE.

Typical Buyers' Fees ...

• Loan origination fee, usually 1% of your mortgage amount
• Discount point (or points), each usually 1% of your mortgage amount
• Assumption fee (if you assume the seller’s old mortgage)
• Title search fee
• Lender’s title insurance fee
• Owner’s title insurance fee (optional but advisable)
• Survey fee (if applicable)
• Two fees that may have been paid when you applied for the loan:
  • Appraisal fee
  • Credit report fee
• Lender’s inspection fee
• Recording fees
• Prepaid interest on your mortgage, covering the time between settlement and the first regular monthly payment
• Prepaid mortgage insurance premium
• Property tax, possible reimbursement to seller and/or payment on future taxes
• Assessment, possible 1 to 3 month local improvement charge or association fee (especially applicable to condominium buyers)
• Lawyers fees (if applicable)