Quick answer
Closing costs are all the charges you pay at closing to get a mortgage and transfer the home: lender fees, third-party services such as the appraisal and title insurance, government recording fees and taxes, and prepaid interest, insurance and escrow deposits. The CFPB puts them at about 2% to 5% of the purchase price, on top of the down payment.
Key facts
Where they’re listed
Every lender itemizes closing costs on page 2 of the Loan Estimate in the same lettered sections: A for the lender’s origination charges, B and C for services you can’t or can shop for, E for taxes and government fees, F for prepaids and G for the initial escrow deposit. The Closing Disclosure, which you receive at least 3 business days before closing, repeats the layout with final figures, so you can compare line by line.
What the range means in dollars
On a $360,000 home, about the US median home value, the CFPB range works out to $7,200–$18,000. Where you land depends mostly on your state’s transfer tax and any mortgage tax, the loan amount (which drives points and title premiums), and how many days of prepaid interest fall before your first payment. The closing cost calculator builds the estimate for your state.
Related terms
- Cash to close, the amount you actually bring
- Prepaid items, paid ahead at closing
- Lender credit and seller concessions, two ways to cover them
Sources
- US Census Bureau, American Community Survey 2024 1-year — Median value of owner-occupied homes (2024 ACS 1-year)
- CFPB — Typical closing costs, low end (share of purchase price); Typical closing costs, high end (share of purchase price) (Oct 28, 2026)
- CFPB — You receive the Closing Disclosure at least this many business days before closing (Oct 28, 2026)
- CFPB: Loan Estimate explainer
Last reviewed Figures are checked against the sources above. Read our editorial policy. This page is general information, not financial advice — see the disclaimer.