Closing Costs Calculator

by Jeff Ragan

Have you been looking for a handy closing costs calculator? Want to estimate your down payment and closing costs?

On this page you're going to love what I have for you. You can stop looking and just read this page over, watch the brief video below and play all you want with the mortgage closing costs calculator you'll find here.

If you would like to start working with a lender, knows and understands how to match you up with the right lender.

They have helped thousands of people just like you buy their first home. They'll give you a closing costs estimate called a Good Faith Estimate after you fill out a loan application.

I know that when it comes to spending your hard earned money, you don't want any surprises. When you plan ahead, get some estimates together you can prepare yourself mentally for the biggest investment of your lifetime.

Want to go straight to the calculator? Just click here.

Closing Costs Calculator Instructions

Some people just tell you to estimate 2%-5% of the costs of the home for closing. Since I know you're most likely a first time home buyer, you are on a strict budget and want to get as close to the actual figures to buy a house as you can.

With this in mind, I had this closing costs calculator custom made to help you. So let's get started.

First I suggest you watch this brief video. It's under 8 minutes and can help you a great deal in understanding how to use this handy tool.

In the video below I will use a $100,000 FHA purchase with an interest rate of 5.5% and a down payment of the minimum 3.5%. You can use any numbers you want, so don't worry. Please keep in mind this is for illustrative purposes only. This is not a Good Faith Estimate (GFE) or an offer for credit.

STEP 1 Estimating Closing Costs

Want to go straight to the calculator? Just click here.

The reason it's hard to estimate your closing costs on a mortgage is because there are so many different numbers required. I'll try to simplify it for you. 

Look at the example image just below. It's a picture of the top part of the closing costs calculator. It shows 8 fields you need to fill in. Be sure to hover your mouse over the blue circles with the question marks in them. You'll see a bubble pop up with some instructions on what you need to put into the field.

  1. Enter Your Purchase Price
  2. Use the Drop Down To Select The Down Payment Amount (3.5% for FHA loans)
  3. Enter Your Interest Rate
  4. Term Of Mortgage (Most Likely 30 Years)
  5. Annual Property Taxes 
  6. Months Required of Taxes (This is for escrow account)
  7. Annual Insurance (Hazard Insurance)
  8. Months Required of Insurance (This is for escrow account)
closing costs calculator

STEP 2 Mortgage Closing Cost Calculator

Want to go straight to the calculator? Just click here.

Ok, the first step was not so bad right? Looking at the next example image, you'll be entering some figures that will be a little harder for you to estimate. So you'll see I put some numbers in there that could work, however it does vary from state to state. So getting a Good Faith Estimate done by a lender will be much more exact.

So click on the "Fees" button that says "Expand". It will open up another section of the calculator. 

This has 13 boxes that need numbers put into them. Again, I stress that you may want to watch the video above which explains in great detail what each box is for. So for now, look at the numbers in the picture as some suggestions.

  1. Loan Origination Fee (Normally around 1% but keep in mind this is negotiable)
  2. Discount Points (Chances are you will not be paying this since it is to buy down your interest rate and increases your costs)
  3. Appraisal Fee (FHA appraisal cost vary)
  4. Credit Report
  5. Document Preparation (Some lenders charge to prepare your paper work)
  6. Warehousing (Not likely to apply)
  7. Courier Fee
  8. Escrow Fee (Title company or attorney charges this for closing mortgage)
  9. Mortgagee's Title Policy (Policy protects the lender)
  10. Owners Title Policy (Policy protects the owner, you!)
  11. Survey 
  12. Filing Fee (Record documents at courthouse)
  13. Misc (If you ask for seller concessions, enter a negative number here)
closing costs calculator example

STEP 3 Understanding The Closing Costs Calculator

Want to go straight to the calculator? Just click here.

So now that you have done all this work, the results are shown in this next image. You do not have to enter any numbers here. This gives you the total closing costs associated with your new mortgage.

The two most important numbers here are your total monthly payment and the cash needed to close. I circled them in red. All the rest of the numbers are totals of your overall cost.

closing costs calculator sample

So hopefully you found this closing cost calculator helpful. You can use this all you want. Click the reset button anytime you want to start over. But before you do, notice the "Printer Friendly Report" button. Click on this button and a new window pops open and you can print the results before you reset.

Want to see if you qualify for a mortgage? will help you shop for an FHA mortgage.

For many years now, they have helped first time home buyers finance their new home. By getting yourself pre-qualified for a FHA home loan you put yourself in a good position to know how much money you need to buy a house. 

Furthermore, you will also know what price range you should be shopping in when looking at homes. Besides that, a real estate agent is going to want you to do this before they show you very many homes. So go ahead and get this done today. You can get started anytime of the day or night.

Your Own Closing Costs Calculator

Buyers Closing Costs
Purchase Price:
Down Payment:
Interest Rate:
Terms (Years):
Annual Taxes:
Months Required of Taxes:
Annual Insurance:
Months Required of Insurance:
Loan Origination Fee:
Discount Points:
Appraisal Fee:
Credit Report:
Document Preparation:
Courier Fee:
Escrow Fee:
Mortgagee's Title Policy:
Owner's Title Policy:
Filing Fee:
Misc:+/- Numbers Here, Seller Paid Costs Are Negative
Mortgage Amount @ 5.00% for 30 years:
Monthly Payment (P & I):
Monthly taxes & Insurance Escrow:
Mortgage Insurance:
Total Monthly Payment:
Property Tax Reserves:
Property Insurance Reserves:
Loan Origination Fee:
Discount Points:
Appraisal Fee:
Credit Report:
Document Preparation:
Courier Fee:
Escrow Fee:
Mortgagee's Title Policy:
Owner's Title Policy:
Filing Fee:
Misc: +/- Numbers Here, Seller Paid Costs Are Negative
Total Expense:
Down Payment:
Cash Needed to Close:

In no way is the estimate generated from this closing cost calculator meant to serve as a Good Faith Estimate or GFE. By law each lender you talk with is to provide you with a GFE to give you a more precise estimate. The final HUD-1 closing statement received at the end of the transaction will give you exact costs.

This calculator is intended to help you get a general idea of the amount of money needed for your down payment requirement and closing costs.

Do not consider this an offer of credit. This is only a general illustration of typical mortgage terms offered by most lenders. You will need to contact a specific lender to help you understand the different mortgage products and to determine your eligibility for any mortgage products.

Once you have all these figures added in, you will have a good idea of your total closing costs. Every area is different in what is required, so its hard to create a calculator to include everything. But your Good Faith Estimate gives you a pretty good picture. Just watch out for those unnecessary closing costs. 

Leave Closing Costs Calculator and return to Mortgage Calculators main page. 

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