Down payment, closing costs, and cash to close
Buyers often budget for the down payment and forget that closing costs sit on top of it. Together they make up your cash to close — the money you wire or bring in a cashier’s check on the day you sign. Anything you’ve already paid, like earnest money, gets credited back, lowering the amount due. This calculator breaks the whole figure down so there are no surprises at the closing table.
The cash-to-close math
Cash to close = down payment + closing costs − earnest money
Closing costs themselves are the sum of itemized charges: origination, discount points, appraisal, title insurance, prepaid escrow, and other flat fees. They usually total about 2–5% of the purchase price.
What makes this calculator different
- Itemized, not a guess. Every charge — origination, points, appraisal, title, prepaid escrow, other fees — is broken out so you can see and challenge each line.
- The number you actually need. We total your true cash to close, crediting earnest money you’ve already paid.
- Costs as a share of price. See where you land in the typical 2–5% range and how points or escrow move it.
- Negotiation-ready. Knowing each line helps you ask for seller concessions and shop lenders on the fees that matter.
Frequently asked questions
What do closing costs include?+
Closing costs are the one-time charges you pay to finalize a home purchase, on top of your down payment. They typically include the lender’s origination fee, any discount points you buy, the appraisal, title insurance and a title search, government recording fees, attorney or settlement fees, and a home inspection. On top of those service charges you also prepay items into an escrow account — usually a few months of property taxes and homeowners insurance. This calculator itemizes each of these instead of quoting one vague percentage.
How much are closing costs as a percentage of the price?+
For most buyers, closing costs run roughly 2% to 5% of the purchase price, though the exact figure depends on your loan amount, state, and which fees apply. On a $400,000 home that’s commonly $8,000–$20,000. The percentage shown above is your specific estimate based on the fees you enter — prepaid escrow and points can push it higher, while shopping lenders and a lower-fee title company can pull it down.
Who pays closing costs — can the seller cover them?+
The buyer usually pays the bulk of closing costs, but the seller can agree to cover some or all of them through what’s called a seller concession or seller credit. In a buyer’s market this is common, and loan programs cap how much the seller can contribute (often 3%–6% of the price, depending on loan type and down payment). It’s worth negotiating concessions into your offer — every dollar the seller covers is a dollar less cash you bring to the table.
What are prepaids and escrow at closing?+
Prepaids are amounts your lender collects up front to fund an escrow (or impound) account that later pays your property taxes and homeowners insurance. At closing you’ll typically prepay a few months of each so the account has a cushion before the first bills come due. These aren’t lender fees — they’re your own money set aside — but they’re still cash you need on closing day, which is why they’re included in your cash-to-close estimate here.
How can I lower my closing costs?+
Shop at least three lenders and compare their Loan Estimates side by side — origination fees vary a lot. You can choose your own title and settlement company rather than the default. Ask the seller for a concession, especially if the home has been on the market. Skip discount points unless you’ll hold the loan long enough to break even, and consider scheduling your closing near the end of the month to reduce prepaid daily interest. Many fees are negotiable — it never hurts to ask.
Disclaimer: This calculator is for educational purposes only. Actual closing costs vary widely by lender, title company, loan type, and state, and many fees are negotiable. Your Loan Estimate and Closing Disclosure are the authoritative figures. This is not financial or lending advice.