Closing costs
Fees and charges paid at closing on top of the price, such as lender fees, title insurance, recording fees, taxes and prepaid items. Buyers often pay around 2% to 5% of the price; sellers pay their own set of costs.
Also called: settlement costs, closing fees
Related terms
The total amount the buyer must bring to closing, usually the down payment plus closing costs minus earnest money and any credits. The final figure is on the Closing Disclosure.
The final form showing the loan terms, payment and every closing cost, which the borrower must receive at least three business days before closing. Compare it with the Loan Estimate for changes.
Money the seller agrees to put toward the buyer's closing costs, prepaid items or rate buydown. Loan programs cap how much a seller can contribute.
A tax charged by a state, county or city when property changes hands. Rates, names and who pays vary widely by location, and some states have none.
A standard three-page form a lender must give within three business days of a loan application, showing the estimated rate, payment and closing costs. It makes offers from different lenders easy to compare.