Closing costs

[Anastasiia Greca]

Hello everyone!
I started looking up what are the estimate closing costs in my area
and I found a calculator from one of the banks. The result was - estimate closing costs, including prepaid items and escrow account funds, for a fixed 30 year fixed-rate loan could be $6,030!
Is it possible??? I thought it would be about a thousand or so. But not 6000!!! We are struggling to pay the down payment. but if that`s what closing costs are, there is no way we can afford it.

[Tom T.]

@Anastasiia Greca  - Unless you are a cash buyer closing cost will never be 1,000
General rule of thumb is around 3%-4%+ of sales price. You can cut a tiny bit of cost (prepaid interest) if you get to close on the 1st.   Some of the items (fees) are negotiable but you would need some leverage in the form of a decent down payment and or a rockin credit score.  Ask the lender for some consideration on a few fees. Can't hurt to ask.  If you are willing to accept a higher rate for a concession on fees that might work, my bet is they will do that although honestly that is not in your best interest long run. Remember this. Nobody gets paid if you do not pull the trigger so you do have a tiny bit of leverage. They do want to try and make it happen.