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Closing Cost Calculator — Itemized by State & Loan Type

What does it really cost to close on a house? Closing costs typically run 2–5% of purchase price — on top of the down payment. This calculator itemizes every line: lender origination, appraisal, credit report, title insurance (lender's + owner's), state transfer tax, recording fees, prepaid interest, the first-year escrow setup for property taxes and homeowners insurance, PMI if your LTV is over 80%, and optional discount points. Conventional, FHA, and VA loans handled. Real estate varies by state, county, and lender — so we show low and high columns, not a single fake-precision number.

2–5%
Typical closing-cost range
12+
Itemized cost categories
Low / high
Range columns by line
Conv / FHA / VA
Loan types

1. The deal

Purchase price, down payment, and the loan you're using. Used to size every percentage-based fee.
$
Contract price you're paying for the house.
%
Cash down. Drives PMI: ≥20% removes PMI on conventional loans. FHA has its own MIP regardless.
FHA charges upfront MIP 1.75% of loan, plus annual MIP. VA charges a funding fee (waived for disabled vets) and has no PMI/MIP. Conventional needs PMI if down <20%.
State affects transfer-tax rate and title-insurance pricing. *Texas has no state transfer tax but has higher title costs.
%
Used to calculate ~15 days of prepaid interest at closing (varies by close date in the month).
pts
Each point = 1% of loan amount, typically buys ~0.25% rate reduction. Most buyers take 0.
$
Drives the 2-4 month escrow setup at closing.
$
First-year premium prepaid + 2 months in escrow.
Mid-cost state assumes transfer tax around 0.5% of price and title insurance at standard ALTA-promulgated rates. Adjust the state dropdown if your purchase is in a high-tax jurisdiction.

Closing costs by state — where the biggest variance lives

The single largest source of closing-cost variance is state transfer tax and title-insurance regulation. Two identical $500,000 homes can produce closing costs that differ by $8,000–$15,000 depending on the state, county, and city. Below is the general shape of what buyers face by state. The calculator above rolls up the mid-cost / high-cost / no-transfer-tax buckets; for precise numbers ask your title officer for the exact schedule in your county.

StateTransfer tax postureTitle insurance regimeTypical buyer closing cost on $400K home
CaliforniaLow county doc tax (~0.11%) + city add-ons in SF, LA, Berkeley, Oakland (0.5–6%)Negotiated market; escrow-split by county$9,000–$16,000
FloridaDoc stamps 0.70% deed + 0.35% mortgage + intangible tax 0.20% on loanPromulgated (state-set) rates$11,000–$16,000
IllinoisState 0.10% + county 0.05% + Chicago transfer tax 0.75% buyer / 0.30% sellerNegotiated; standard national carriers$10,000–$15,000
New YorkState 0.4% transfer + mortgage recording tax 1.0–1.925% + NYC mansion tax on $1M+Highest in the U.S.; New York-specific rate manual$14,000–$22,000
New JerseyRealty transfer fee 0.4–1.1% (seller) + mansion tax 1% on $1M+ (buyer)File-and-use rates$9,000–$14,000
Pennsylvania2% total realty transfer tax (1% state + 1% local), typically split 50/50 buyer/seller. Philadelphia 4.278% total.Promulgated rates$10,000–$15,000
Washington DC1.45% recordation tax (buyer) + 1.45% transfer tax (seller). $400K+ homes: recordation drops to 1.10% under first-time-buyer rules if eligible.Negotiated market$11,000–$16,000
MarylandState recordation 0.55% + state transfer 0.5% + county transfer 0.5–1.5% (Montgomery Co. highest)Promulgated rates$11,000–$16,000
TexasNo state transfer taxPromulgated rates — title insurance runs above national average, offsetting the transfer-tax savings$8,000–$12,000
GeorgiaState transfer tax 0.1% + intangibles tax on mortgage 0.3%Attorney-closed states — adds attorney fees but bundles services$8,000–$12,000
North CarolinaExcise tax 0.2% on the deedAttorney-closed; competitive rates$7,000–$10,000
VirginiaState grantor tax + state deed recordation ~0.75% combinedFile-and-use rates$8,000–$12,000
Ohio, Indiana, Missouri, Kentucky, TennesseeMinimal or no state transfer tax; small county recording feesStandard rates$6,000–$9,000
Alabama, Mississippi, Arkansas, LouisianaLow state transfer taxes; Louisiana uses a notary-closed systemStandard rates$6,000–$9,000
Arizona, New Mexico, Nevada, Utah, ColoradoLow or no state transfer tax; Nevada has real property transfer tax ~$5.10 per $1K valueNegotiated market$7,000–$11,000
Iowa, Nebraska, Kansas, South Dakota, North Dakota, Wyoming, MontanaMinimal transfer taxes; typical Midwest fee structureStandard rates$6,000–$9,000
Washington, OregonWA has real estate excise tax (REET) 1.10–3.00% graduated (seller-paid but affects negotiation); OR has no state transfer taxStandard rates$7,000–$12,000
Massachusetts, Connecticut, Rhode Island, Maine, Vermont, New HampshireNew England states range from moderate (NH, ME 0.75%) to elevated (CT with mansion-conveyance tax)File-and-use rates$8,000–$14,000
Michigan, Wisconsin, MinnesotaState transfer taxes 0.3–1.0%; Minnesota adds mortgage registry tax 0.23%Standard rates$7,000–$11,000
South CarolinaDeed recording fee 0.37% (state + county combined)Attorney-closed states$7,000–$10,000
Alaska, HawaiiAK has no state transfer tax; HI has conveyance tax 0.10–1.25% graduated on priceHigher costs due to remote-market pricing$9,000–$18,000
West Virginia, Oklahoma, IdahoLow transfer taxes; simple county fee structuresStandard rates$6,000–$9,000
Delaware4% total transfer tax (2.5% state + 1.5% county), typically split buyer/seller — among the highest in the U.S.Standard rates$12,000–$17,000

Ranges assume conventional 10–20% down loan on a $400,000 home. Actual numbers vary by county, city, lender, and negotiated seller concessions. Numbers include lender fees, title fees, transfer/recording taxes, and prepaid escrow. First-year insurance premium and property tax escrow are cash-out-of-pocket but not truly "costs."

Closing costs FAQ

How much are closing costs on a house?

Typically 2–5% of the purchase price for the buyer, on top of the down payment. On a $400,000 home that is roughly $8,000–$20,000 depending on state, loan type, and lender. High-transfer-tax states (New York, New Jersey, Illinois, Delaware, DC, Pennsylvania in Philadelphia) push toward the top of the range. Low-transfer-tax states (Texas, Alabama, Missouri, Indiana, Ohio, Tennessee) push toward the bottom. FHA and VA loans add upfront mortgage insurance premiums or funding fees that increase the number further.

Who pays closing costs — the buyer or the seller?

Both. The buyer typically pays lender fees, appraisal, credit report, lender's title insurance, prepaid interest, and escrow setup for property taxes and insurance. The seller typically pays the real-estate commission (5–6% of price), owner's title insurance in some metros, and often part of the transfer tax. In many states, transfer tax is split by custom (Pennsylvania 50/50, DC by side). In a competitive market, buyers sometimes agree to "seller concessions" that flip which side pays which line — that's negotiated in the purchase contract, not by law.

Can closing costs be rolled into the mortgage?

Some can, most cannot. FHA upfront MIP (1.75% of loan) and VA funding fee (1.4–3.6% of loan) are financed into the loan by default. Conventional loans generally do not let you roll closing costs into the loan — but they do let you take a slightly higher interest rate in exchange for a "lender credit" that covers closing costs at the table. That's called a rate-buy-up (the opposite of buying points). The lender is essentially making the mortgage a hair more expensive over 30 years to cover your closing costs today. Whether it's worth it depends on how long you plan to keep the loan.

Are closing costs tax deductible?

Most closing costs are not deductible in the year paid. The two exceptions worth knowing: (1) Discount points paid on a purchase (not a refinance) are deductible as mortgage interest in the year of purchase if you itemize. (2) Prepaid interest from your closing date to month-end is deductible as mortgage interest. Property taxes prepaid at closing are deductible in the year they cover, subject to the SALT cap. All other closing costs (title insurance, appraisal, origination, transfer tax) add to your cost basis in the home — they reduce your capital gain when you eventually sell, but do not produce a current-year deduction. See the W-2 tax estimator to model the itemize-vs-standard decision post-OBBBA SALT rules.

Why is my closing cost so different from my friend's in another state?

Because closing costs are dominated by two variable inputs: state/local transfer tax and title-insurance regulatory regime. A $500,000 home in New York City can produce $18,000–$22,000 in buyer closing costs; the same home in Nashville, Tennessee produces $8,000–$11,000. Same lender, same rate, same buyer profile. The difference is not the lender — it's the state government. Title insurance is regulated state-by-state: "promulgated" states (Texas, Florida, Pennsylvania, New Mexico) have fixed premiums by rule; "file-and-use" states allow carriers to publish rates; "negotiated" states let carriers compete freely. That regulatory choice creates 30–50% variance in a single line item.

What is the Loan Estimate (LE) and Closing Disclosure (CD)?

These are the two federally-required disclosures under the TRID rule (2015). The Loan Estimate comes within 3 business days after you apply and shows every projected closing cost. The Closing Disclosure comes at least 3 business days before closing and shows the final numbers. Under TRID, most line items cannot increase more than 10% between LE and CD without re-disclosure and a new 3-day waiting period. Some items (origination charges, discount points, transfer taxes) cannot increase at all. If a lender tries to raise fees at the table, that's a violation — you have the right to require the corrected CD and the 3-day wait.

Are FHA closing costs higher than conventional?

FHA loans add upfront mortgage insurance premium (UFMIP) of 1.75% of the loan amount — but that's financed into the loan by default, so it is not out-of-pocket at closing. FHA also has annual MIP that stays for the life of the loan (unless you refinance to conventional later). Conventional loans below 20% down have PMI, but PMI is monthly and drops off automatically when your LTV hits 78%. VA loans have a funding fee (1.4–3.6% of loan, waived for service-connected disabled veterans), also financed. Practical takeaway: FHA is often cheaper at closing (small down payment allowed, lower credit-score threshold) but more expensive over the loan's life if you never refinance.

WANT THE METHODOLOGY BEHIND THIS TOOL?
Read more in the Money Reality.
The tool gives you the answer. The guide gives you the argument — the case law, the worked examples, the negotiation playbook, the cross-check tables, the exception cases.
The methodology behind this calculator is in Home ownership economics · closing costs of the reference guide.
Read more in the Money Reality → Browse all 22 guides
Educational references and tools — not legal, tax, accounting, or investment advice, and not a recommendation to buy or sell any security. Consult a qualified professional about your specific situation. © 2026 The Baratelli Institute.

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