They include the lender's fees, the title work, the appraisal, and money set aside for your first taxes and insurance.
Your Loan Estimate lists every cost. You are free to use any lender, so compare the builder's lender with at least one other.
How much are closing costs on a new home?
Closing costs are often about 2% to 5% of the loan. On a new home, the builder often pays some or all of them when you use its lender.
More questions
- How much do I need for a down payment on a new home?It can be $0. You do not need to be a veteran or a first-time home buyer.Read the answer
- How much is the deposit on a new construction home?The deposit is as low as $1,000. You pay it after you are pre-approved and have found the home you want, and you get it back at closing.Read the answer
- Who pays closing costs on a new construction home?Often the builder. When you use the builder's lender, the builder often pays your closing costs, so you keep your savings for the move.Read the answer
- What will I spend on moving into a new home?Plan for the move itself, first-month utility deposits, and things the home may not come with, like blinds, a fridge or a washer and dryer.Read the answer