When you're saving for a home, it's easy to focus only on the down payment. But closing costs, which typically range from 2% to 5% of the loan amount, are a major expense you need to be prepared for.

Common Closing Costs for Buyers

These can include appraisal fees, loan origination fees, title insurance, home inspection fees, and prepaid property taxes and homeowners insurance. You will receive a Loan Estimate and a Closing Disclosure that itemize all these costs.

Estimate Your Costs

To get a rough idea of what to expect, use a closing cost estimator tool. It provides a basic estimate based on the home's price and your location.