Is this a good amount for closing costs?

Anonymous · ‎06-25-2016

Looking at a $240k home purchase, FHA with 3.5% down.

We were quoted approximately $5k for our part of the closing costs. Being that this is our first home purchase, does this sound like a fair amount?

Anonymous · ‎06-25-2016

It really depends on several different factors including taxes since most of the time they will require several months of insurance and taxes placed into escrow. I was quoted around $10,700 on a 350k house (going with a different lender/builder now though).

Anonymous · ‎06-26-2016

When you factor in closing costs and prepaid items, you can usually expect 3-4% of the purchase price for smaller loans (under $250,000) and 2.5-3% for larger loans ($400,000+) if you are paying for everything as the buyer. Your $5,000 estimate will come in a little short unless the seller is paying a portion.

Anonymous · ‎06-26-2016

We're buying a to be built in a new development and the loan officer said that the builder would contribute over $3,000 and that the lender would contribute $1,000.

Anonymous · ‎06-27-2016

@Anonymous wrote:
Looking at a $240k home purchase, FHA with 3.5% down.

We were quoted approximately $5k for our part of the closing costs. Being that this is our first home purchase, does this sound like a fair amount?

Most of it is set by the state. My closing costs were 12k on a 600k home, but I had to pay $0 as I had the sellers pay it. As long as the house appraises, I'd increase your offer by 5k and ask for 5k seller contribution towards closing costs.