Understanding Closing Costs: What Every Buyer Should Know

When purchasing a home, it's essential to factor in closing costs, which can add up quickly. Closing costs typically range from 2% to 5% of the home's purchase price and include various fees such as loan origination fees, appraisal fees, title insurance, and attorney fees.

As a buyer, it's crucial to obtain a good faith estimate from your lender early in the process to understand the expected costs. Some expenses can be negotiated with the seller, and certain costs may be rolled into your mortgage.

Being aware of these costs will help you budget effectively and avoid surprises at closing. Our guide breaks down the common fees involved, ensuring you're fully prepared for this essential part of the home-buying journey.