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Closing Costs Calculator

Add up the fees on a home purchase, from lender charges to title, transfer taxes and prepaids. Find the total cash you need at closing.

Level: Grade 7

  • Common Core standard 7.RP.A.3Use proportional relationships to solve multistep ratio and percent problems. Examples: simple interest, tax, markups and markdowns, gratuities and commissions, fees, percent increase and decrease, percent error.
  • Common Core standard 7.EE.B.3Solve multi-step real-life and mathematical problems posed with positive and negative rational numbers in any form (whole numbers, fractions, and decimals), using tools strategically. Apply properties of operations to calculate with numbers in any form; convert between forms as appropriate; and assess the reasonableness of answers using mental computation and estimation strategies.
Printable worksheet

Closing Costs Calculator

Know the answer you need? Pick an input to work backward.

Inputs

Example value. Use the figure on your loan estimate.

One point is 1% of the loan, paid to lower the rate.

Varies widely by state and county; some places charge none.

Survey, HOA transfer, attorney or anything else on your estimate.

Result

Total closing costs

$10,350.00

Closing costs come to $10,350.00 (2.96% of the price), so you need about $45,350.00 in cash at closing including the down payment.

Cash needed at closing
$45,350.00Down payment plus closing costs, minus credits. Earnest money you already paid counts toward it.
Closing costs as % of price
2.96%
Closing costs as % of loan
3.29%
Loan amount
$315,000.00
Down payment
$35,000.00
Lender charges (origination and points)
$3,150.00
Third-party and government fees
$4,200.00
Prepaids and escrow
$3,000.00
Where the closing costs go
  • Lender charges$3,150.0030.4%
  • Appraisal and inspection$1,000.009.7%
  • Title and settlement$2,500.0024.2%
  • Transfer and recording$700.006.8%
  • Prepaids and escrow$3,000.0029%

See the step-by-step solution ↓

Step-by-step solution

  1. Find the loan: the price minus your down payment (price × down %)

    $350,000.00−$350,000.00×10%=$315,000.00

  2. Lender charges: the origination fee and points are each a percent of the loan

    $315,000.00×1%+$315,000.00×0%=$3,150.00

  3. Transfer taxes and recording fees are a percent of the price

    $350,000.00×0.2%=$700.00

  4. Total closing costs: add every item

    $3,150.00+$0.00+$1,000.00+$2,500.00+$700.00+$3,000.00+$0.00=$10,350.00

  5. Divide by the price to see closing costs as a share of it

    $10,350.00$350,000.00=2.96%

  6. Cash to close: add the down payment, since you pay it the same day, then take off any credits

    $35,000.00+$10,350.00−$0.00=$45,350.00

Test yourself

20 quick questions built from this calculator's formula: work out results, predict what happens when an input changes, and work backward from an answer. Every answer comes with the working.

Please note: Results are estimates for planning and comparison. Lenders, banks, and tax authorities may round differently or include fees not modeled here, so confirm figures with your provider before deciding.

What this calculator does

Find out how much cash you'll need on the day you close on a home. This closing costs calculator adds up the one-time charges that come with buying a home. Enter the price, your down payment and each fee from your loan estimate or your own research. It adds them up and shows the total as a share of the price and of the loan. It also splits the total into lender charges, outside (third-party) fees and prepaid items.

Closing costs are easy to underestimate, because they come as a long list of separate items. There are lender fees, the appraisal, title insurance, government transfer taxes and recording fees. There are also the first deposits into an escrow account, which holds money for your property taxes and insurance. Each is modest on its own. But together they often add a few percent of the price on top of the down payment. The defaults are only example values, not a quote, so replace them with your own figures.

Where it's used

Why this math matters outside the classroom:

  • Buying a first home. Buyers add a 1% origination fee on a $315,000 loan, $3,150, to flat fees to see the full cost of closing.
  • Comparing lenders. Shoppers compare two loan estimates line by line, since 1.5 points on $280,000 adds $4,200 to closing costs.
  • Negotiating a contract. Agents work out how a $4,000 seller credit lowers a buyer's cash to close from $45,350 to $41,350.
  • Saving for a purchase. Families set a savings goal of the down payment plus about 3% of the price for closing costs.
  • Percent practice. Students find 0.2% of $350,000 as 0.002 × 350,000 = $700 when totaling transfer taxes.

Grade level and standards: Grade 7; Common Core State Standards for Mathematics 7.RP.A.3, 7.EE.B.3. © Copyright 2010. National Governors Association Center for Best Practices and Council of Chief State School Officers. All rights reserved.

How to use it

  1. Enter the home price and your down payment, as a percent of the price or a dollar amount.
  2. Enter the lender's origination fee and any discount points, as a percent of the loan.
  3. Enter the dollar amounts for the appraisal and inspection, title and settlement, prepaids and escrow, and any other fees. Enter transfer taxes as a percent of the price.
  4. Subtract any seller or lender credits. Then read the total closing costs and the cash needed at closing.

What the inputs mean

Lender origination fee
A lender's charge for setting up the loan, often given as a percent of the loan. Some lenders charge flat fees instead. Turn those into a percent, or put them under Other fees.
Discount points
Optional interest paid up front to get a lower rate. Each point costs 1% of the loan.
Title insurance and settlement fees
The lender's and owner's title insurance, the fee for the settlement or escrow agent who runs the closing, and related charges.
Transfer taxes and recording fees
State and local taxes on the sale, plus the county's fee to record the deed and mortgage. Rates differ widely, and in some places the seller pays them.
Prepaid interest, taxes, insurance and escrow deposit
Interest from closing to the end of the month, the first year of homeowners insurance and the opening deposit for the escrow account. These aren't fees, but you pay them at closing.
Other fees
Survey, HOA transfer, attorney or anything else on your estimate.
Seller or lender credits
Money the seller agrees to put toward your costs, or a lender credit in exchange for a higher rate. Credits lower the cash you bring.

Formula and method

loan = price − down payment
lender charges = loan × (origination % + points %) ÷ 100
transfer and recording = price × transfer % ÷ 100
closing costs = lender charges + appraisal + title + transfer and recording + prepaids + other
cash to close = down payment + closing costs − credits

Each item is figured the way it's usually charged. Lender charges grow with the loan, and transfer taxes grow with the price. Most outside fees are flat amounts. The calculator keeps each one in its own form, then adds them up.

Cash to close adds the down payment back in, because you pay it at the same time. Earnest money you've already paid (the deposit made with your offer) is part of that cash, not an extra amount.

Worked example

A $350,000 home with 10% down, a 1% origination fee, no points, $1,000 for the appraisal and inspection, $2,500 of title and settlement fees, transfer taxes of 0.2% of the price and $3,000 of prepaids.

  1. Loan: $350,000 − 10% of $350,000 = $315,000.
  2. Lender charges: 1% × $315,000 = $3,150.
  3. Transfer taxes and recording: 0.2% × $350,000 = $700.
  4. Closing costs: $3,150 + $1,000 + $2,500 + $700 + $3,000 = $10,350, about 2.96% of the price.
  5. Cash to close: $35,000 + $10,350 − $0 = $45,350.

Result: Closing costs come to $10,350. You'd need about $45,350 in cash at closing, including the $35,000 down payment.

Understanding the result

Compare the total with your savings after the down payment. Many lenders also want to see some money (reserves) left over after closing.

The split shows where you have room to act. You can compare lender charges between lenders, and you can shop for some outside services. Transfer taxes and prepaids are mostly set by where you buy.

Prepaids are money you'd spend anyway on interest, tax and insurance. So a large prepaid figure is less of a cost than the same amount in fees.

Assumptions and limitations

  • Origination and points are charged on the loan amount. Transfer taxes and recording are charged on the price.
  • You enter every amount yourself. No fees are looked up or estimated for a location.
  • Credits are applied in full and can't be more than the costs.
  • Fees added into the loan, such as an upfront mortgage insurance premium, aren't modeled.
  • Who pays each fee depends on local custom and on the sale contract. Enter only the costs you pay.
  • This is a planning tool, not a quote. The loan estimate and closing disclosure from your lender are the official figures.

Frequently asked questions

How much are closing costs on a house?

They vary with the price, the loan, the lender and especially the location. Transfer taxes and title costs differ a lot from place to place. Enter the items from your loan estimate to get your own figure. With the example values, they come to about 3% of the price.

Are prepaids part of closing costs?

You pay them at closing, so they're part of the cash you need. But they aren't fees. Prepaid interest, the first insurance premium and the escrow deposit would have to be paid sooner or later anyway.

Can the seller pay my closing costs?

Often, yes, as a seller credit you agree on, within limits set by the loan program. Enter it under credits to see how much less cash you need. A credit can't be larger than the costs it pays for.

Are discount points worth paying?

Points cost money now and lower the rate for the life of the loan. Divide the cost of the points by how much you save each month. That tells you how many months it takes to break even. Compare that with how long you expect to keep the loan.

How this calculator is checked

Method: Arithmetic sum of user-entered fee items; percentage items applied to the loan or the price as labelled. The calculation is covered by automated tests with known reference values and edge cases. Last updated 2026-10-18. Found a problem? Tell us.

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