Closing Cost Calculator
Updated on 22 Oct 2026 · Checked by Aotob
Closing on a $400,000 home costs about $11,747 (2.9% of the price).
With 20% down you need about $91,747 in cash at closing. Most buyers pay 2% to 5% of the price in closing costs, and the exact figures come on your Loan Estimate.
Estimated closing costs
$11,747
$4,022 of this is prepaid tax, insurance and interest. That is not a fee: it is money you would pay anyway, just early.
Show the working
Lender = origination 1,600 + points 0 + appraisal, credit and underwriting 1,800 = 3,400
Third party = title 2,000 + transfer tax 800 + settlement, inspection and recording 1,525 = 4,325
Prepaids = 15 days interest 822 + a year of insurance 1,800 + escrow reserves 1,400 = 4,022
Total = 11,747
Your closing costs, line by line
| Item | Amount | Who sets it |
|---|---|---|
| Origination fee | 1,600 | Lender, can be negotiated |
| Discount points | 0 | Your choice |
| Appraisal | 650 | Appraiser |
| Credit report and underwriting | 1,150 | Lender |
| Title insurance and search | 2,000 | Title company, can shop |
| Settlement or attorney | 900 | Title or escrow company |
| Home inspection | 450 | Inspector |
| Recording fees | 175 | County |
| Transfer tax | 800 | State and county |
| Prepaid interest (15 days) | 822 | Closing date |
| Homeowners insurance, first year | 1,800 | Insurer |
| Escrow reserves | 1,400 | Lender |
| Total | 11,747 |
Questions people ask
How much are closing costs?
Usually 2% to 5% of the price. Lender fees, title insurance and your state’s transfer tax make the biggest difference.
Are prepaids part of closing costs?
They are paid at closing, but they are not fees: they are your first year of homeowners insurance, a few months of property tax and insurance held in escrow, and interest up to your first payment.
Can I lower my closing costs?
Compare Loan Estimates from several lenders, shop for title insurance where your state allows it, ask the seller for a credit, or close near the end of the month to cut prepaid interest.
What are discount points?
Each point costs 1% of the loan and lowers your rate, often by around 0.25%. It pays off if you keep the loan long enough to recover the cost.
Updated 22 Oct 2026Source: CFPB: Loan Estimate explainerChecked by AotobFixed fees are typical US amounts. Your Loan Estimate has the real figures.Report an issue