Closing Cost Calculator

Closing costs split into two kinds and only one of them changes the APR. On a $320,000 loan, 1% in lender fees is $3,200 and 2% in third-party costs is $6,400, so $9,600 in total. Add the $80,000 down payment and $89,600 has to reach the table. The lender half lifts the APR to 6.597%.

Home price

$50k$2M

Down payment

0%50%

Lender fees and points

0%3%

Origination, underwriting, discount points. As a percentage of the loan. These are finance charges under 12 CFR 1026.4, so they are the part that moves the APR.

Third-party costs

0%5%

Title insurance, appraisal, recording, survey. As a percentage of the loan. Most of these are not finance charges, so they cost real money without touching the APR.

Interest rate

3%12%

Your assumption, not a quote. BEDRWay is not a lender and does not set or quote rates. Freddie Mac publishes the national weekly average.

Loan term

10 yr30 yr

Closing costs, all in $9,600

Of that, lender fees and points: $3,200
Of that, third-party costs: $6,400
Total cash to close: $89,600
Down payment: $80,000
Amount borrowed: $320,000
Principal and interest, per month: $2,023
Terms of repayment: 360 monthly payments of $2,023 (principal and interest)
Annual percentage rate (APR) of these assumptions: 6.597%

This estimate does not include property taxes, homeowners insurance, mortgage insurance or HOA dues. Your actual payment obligation will be greater.

These figures are the arithmetic of the assumptions you entered. BEDRWay is not a lender, does not quote rates, and this is not a loan offer, a pre-qualification or a commitment to lend. A licensed loan officer runs your actual numbers.

Why this page asks two questions instead of one

Every closing cost calculator we could read quotes one blended percentage. That is tidy and it makes an honest APR impossible, because Regulation Z does not treat the costs as one thing.

amount financed = loan − prepaid finance charges

Lender fees and discount points are finance charges under 12 CFR 1026.4. They reduce the amount you actually receive while leaving the amount you repay alone, which is exactly what lifts the APR above the note rate. Title insurance, recording fees, transfer taxes and most appraisals are not finance charges. They cost the same real money and leave the APR untouched.

So a single blended number can tell you neither thing. Split into two, both figures become answerable: what leaves your account, and what the loan actually costs to carry.

What sits in each half

Lender fees and points, which move the APR

Origination and underwriting fees
Discount points, which are prepaid interest by another name
Rate lock extension fees
Mortgage broker compensation, where it is paid by you

Third-party costs, which do not

Lender's and owner's title insurance
Appraisal, survey and pest inspection
Recording fees and transfer taxes
Attorney fees, in the states that require one

The split is not a matter of opinion. It is written down, and a lender has to classify every line the same way on your Loan Estimate.

Why the range is so wide

The 2% to 6% figure quoted across the market is wide because most of the variation is geography rather than lender. Transfer taxes range from nothing to well over one percent of the price. Some states run closings through attorneys and some through title companies. Two identical loans in two states can differ by five figures on costs alone, which is why any single national average is a starting guess.

Two documents settle it

The Loan Estimate arrives within three business days of an application and itemises every line in a standard order, which is what makes two lenders comparable at all. The Closing Disclosure arrives at least three business days before closing. Reading those two side by side, and asking about anything that moved, is the highest-value hour in the whole process.

What it takes to reach closing at other prices

Down payment plus closing costs, at the two fee percentages set above.
Home price	At 5%	At 10%	At 20%
$250,000	$19,625	$31,750	$56,000
$350,000	$27,475	$44,450	$78,400
$400,000	$31,400	$50,800	$89,600
$500,000	$39,250	$63,500	$112,000
$650,000	$51,025	$82,550	$145,600

This estimate does not include property taxes, homeowners insurance, mortgage insurance or HOA dues. Your actual payment obligation will be greater.

Frequently asked questions

Why split the costs into two rows?

Because Regulation Z does. Lender fees and discount points are finance charges, so they reduce the amount financed and lift the APR above the note rate. Title insurance, recording fees and most appraisals are not, so they cost the same money and leave the APR alone. A calculator quoting one blended percentage cannot tell you either thing.

What is a normal total?

The range quoted across the market runs from about 2% to 6% of the loan, and the spread is mostly geography: transfer taxes and title practice differ enormously by state. Treat any single national average as a starting guess and the Loan Estimate as the real answer.

Can closing costs be rolled into the loan?

On a refinance, usually. On a purchase, rarely, though a seller credit or a lender credit can cover them, and a lender credit is paid for with a higher rate. Nothing is free; it moves between the cash column and the rate column.

When do I find out the real number?

The Loan Estimate arrives within three business days of an application and itemises every line. The Closing Disclosure arrives at least three business days before closing. Comparing those two documents is the part of the process worth doing carefully.

Sources

Freddie Mac Primary Mortgage Market Survey, national weekly average mortgage rates, retrieved 2026-08-24
12 CFR 1026.4, which charges count as a finance charge and which do not, retrieved 2026-08-24
CFPB, the Loan Estimate and what closing costs it itemises, retrieved 2026-08-24

Last updated: August 25, 2026