How Much Are Closing Costs: A State-by-State Breakdown
What the sourced state data actually shows, which fees you can shop, and how to bound your own number before the Loan Estimate ever reaches you.
By Maren Vickery · Oct 06, 2026 · 10 min read
Closing costs are not one number. They are a stack of lender charges, third-party service fees, title and settlement costs and government recording charges, and the total swings from about $2,061 for buyers and sellers combined in Missouri to $29,888 in Washington, D.C. (Yahoo Finance, undated). Measured as a share of the purchase price, average closing costs run from 1.2% to 2.47% of a home's value depending on the state, according to an Assurance IQ study cited by the National Association of Realtors (2023-11-03).
This guide uses two sourced state anchors — New York, at 2.47% of value on a $325,000 median home, and West Virginia, at 1.72% on a $123,200 median home (NAR, 2023-11-03) — to show you how to bound your own figure, which line items you can negotiate, and when the binding numbers arrive in writing. It is not a substitute for a quote from a licensed loan officer or advice from a real estate attorney in your state.
Cost Breakdown
Start with the total, because that is the part the published data actually measures. On the New York anchor — a $325,000 purchase price, at the 2.47% state average — the whole closing-cost package lands near $8,030 (NAR, 2023-11-03). On the West Virginia anchor — a $123,200 purchase price at 1.72% — it lands near $2,119. Across all states the band is 1.2% to 2.47% of home value (NAR, 2023-11-03), so on a $400,000 purchase that same band is roughly $4,800 to $9,880 before state transfer and recordation taxes are layered in. Those taxes are why combined buyer-and-seller costs reach $29,888 in Washington, D.C. and only $2,061 in Missouri (Yahoo Finance, undated).
No public source breaks those state averages into per-item dollar amounts, so the ranges below are honest bounds inside the state total rather than invented estimates. Your Loan Estimate replaces every one of them with a real number.
- Lender origination charges — $0 to $8,030 in New York, $0 to $2,119 in West Virginia. This is the origination fee plus the underwriting fee and processing fee, and it is the most negotiable category on the Loan Estimate (The Lenders Network, undated). It can genuinely reach $0 when a lender credit absorbs it, which is why the low end is zero rather than a token figure.
- Discount points — $0 to $8,030 in New York, $0 to $2,119 in West Virginia. Points are optional and entirely your choice. Buying them lowers your interest rate, the price of borrowing the principal, while raising your upfront cash. APR is a different measure: it folds lender fees and points into one annual figure so two offers can be compared. A loan can have a lower rate and a higher APR than its rival, or the reverse.
- Appraisal — $0 to $8,030 in New York, $0 to $2,119 in West Virginia. The lender orders it; you pay for it. The cost varies widely depending on property type and location (WalletHub, undated), so a rural multifamily appraisal and a tract single-family appraisal in the same state are not comparable.
- Title and settlement — $0 to $8,030 in New York, $0 to $2,119 in West Virginia. Lender's title insurance, owner's title insurance, the settlement or escrow closing fee and recording fees sit here, and this is the highest-value group to shop because it varies significantly by state and provider (The Lenders Network, undated). In attorney-closing states you will also see a title exam fee charged by the closing attorney to check for breaks in the chain of title or unsatisfied liens (WalletHub, undated).
- Government recording fees — $0 to $8,030 in New York, $0 to $2,119 in West Virginia, and realistically at the bottom of that bound. These are non-negotiable and set by local governments (NerdWallet, undated). Your county recorder publishes the per-document schedule; call and ask.
Property type and loan type shift the mix. Condo buyers add HOA document and estoppel charges set by the association, not the lender. Conventional loans with less than 20% down carry private mortgage insurance, FHA loans carry both upfront and annual mortgage insurance premiums, and most VA loans carry a funding fee — confirm which applies to the loan you are quoted, because each changes your cash to close in a different way.
Itemized Costs by Category
Each range below is the bound inside the sourced state total, not a quoted price. The New York column assumes the $325,000 median home at 2.47%; the West Virginia column assumes the $123,200 median home at 1.72% (NAR, 2023-11-03).
| Fee | New York bound ($325,000 purchase) | West Virginia bound ($123,200 purchase) | Who controls it |
|---|---|---|---|
| Loan origination fee | $0–$8,030 | $0–$2,119 | Lender-set, and the single most negotiable line (The Lenders Network, undated) |
| Underwriting fee | $0–$8,030 | $0–$2,119 | Lender-set; negotiable, often bundled with origination |
| Processing fee | $0–$8,030 | $0–$2,119 | Lender-set; negotiable |
| Discount points | $0–$8,030 | $0–$2,119 | Optional; you choose how many, if any |
| Appraisal | $0–$8,030 | $0–$2,119 | Lender-ordered; cost varies widely by property type and location (WalletHub, undated) |
| Lender's title insurance | $0–$8,030 | $0–$2,119 | Shoppable; varies significantly by state and provider (The Lenders Network, undated) |
| Owner's title insurance | $0–$8,030 | $0–$2,119 | Shoppable; optional in some states, customary in others |
| Settlement / escrow closing fee | $0–$8,030 | $0–$2,119 | Shoppable; set by the settlement agent you pick |
| Title exam | $0–$8,030 | $0–$2,119 | Charged by the closing attorney for the title search (WalletHub, undated) |
| Government recording fees | $0–$8,030 | $0–$2,119 | Non-negotiable, set by local government (NerdWallet, undated) |
Two things to take from the table. First, the categories marked negotiable or shoppable are where your effort pays; recording fees are fixed and arguing about them wastes a phone call. Second, the state total is the ceiling for any one item, so if a single fee on your Loan Estimate approaches the whole state average, ask the lender to explain it in writing.
How to Complete the Process
- Pull your own cash-to-close bound before you apply. Multiply your target purchase price by 1.2% and by 2.47% (NAR, 2023-11-03) and write down both numbers. Allow a few hours. In high-tax jurisdictions, treat the top of that band as a floor rather than a ceiling, given the $29,888 Washington, D.C. combined average (Yahoo Finance, undated).
- Submit a full application to at least three lenders within the same short window. You need your name, income, Social Security number, property address, estimated value and loan amount for the lender to be obligated to produce a Loan Estimate. Allow one to two business days to gather documents and a few business days for the estimates to arrive.
- Compare the Loan Estimates line by line, not by the bottom line. Put the three origination sections side by side first — origination, underwriting and processing fees are the most negotiable category (The Lenders Network, undated). Read the interest rate and the APR as two separate facts: the rate drives your monthly principal and interest, the APR expresses rate plus lender costs annually. Allow one evening.
- Shop title and settlement separately. These costs vary significantly by state and provider (The Lenders Network, undated), and in attorney states the title exam fee is set by the closing attorney (WalletHub, undated). Ask your lender for the written list of providers you are allowed to shop, then call two or three. Allow three to five business days.
- Ask for a revised Loan Estimate in writing. Email the lender the competing estimate and ask it to match or beat specific line items. Never accept a verbal promise — the only concession that counts is one that appears on a reissued Loan Estimate. Allow one to three business days.
- Negotiate seller concessions inside the limit for your down payment. Concessions are capped at 3% of the sale price or appraised value if your down payment is under 10%, 6% if it is 10% to 25%, and 9% if it is 25% or more (NerdWallet, undated). This is a contract negotiation handled by your agent or attorney, typically during the offer or inspection period.
- Budget for the non-shoppable items and lock the rest. Call your county recorder for the published recording schedule, since those fees are set by local government and non-negotiable (NerdWallet, undated). Allow one phone call.
- Read the Closing Disclosure the day it arrives. Lenders must send it at least three business days before closing (The Mortgage Reports, undated). Compare every line to your most recent Loan Estimate and query any increase before you sign. Use the full three days.
- Wire your funds and close. Confirm wire instructions by phone using a number you looked up independently, not one emailed to you. Expect this on the business day before or the morning of closing.
Frequently asked questions
Why do Washington, D.C. closing costs run so far above Missouri's?
The $29,888 D.C. figure and the $2,061 Missouri figure are averages for buyers and sellers combined, including taxes (Yahoo Finance, undated). The gap is driven mainly by transfer and recordation taxes and by higher property prices, not by lender fees — origination and underwriting charges do not vary between those two jurisdictions anything like that much. If you are buying in a high-tax jurisdiction, ask your settlement agent for a written estimate of transfer and recordation tax before you make an offer, since it is non-negotiable in a way lender fees are not.
If New York averages 2.47%, will my New York closing costs be 2.47%?
Not necessarily. The 2.47% figure is an average measured against a $325,000 median home, which works out to roughly $8,030 (NAR, 2023-11-03). Your own percentage depends on your purchase price, your county's recording and transfer tax schedule, your property type and how many discount points you choose to buy. Use 2.47% of your actual price as a planning ceiling for the standard package, then confirm the real number on your Loan Estimate.
How much can the seller pay toward my closing costs?
The cap depends on your down payment: up to 3% of the sale price or appraised value if you are putting down less than 10%, up to 6% if you are putting down 10% to 25%, and up to 9% if you are putting down 25% or more (NerdWallet, undated). On a $325,000 New York purchase with 5% down, a 3% concession is $9,750 — more than the roughly $8,030 that the state average implies for the full package. Whether a seller agrees is a market question your agent can answer for your submarket.
When do I get a number I can actually rely on?
Three business days before closing at the latest, because lenders are required to send the Closing Disclosure at least that far ahead of the closing date (The Mortgage Reports, undated). Before that, the Loan Estimate is your working document. Treat the 1.2% to 2.47% state band (NAR, 2023-11-03) as your planning figure in the weeks between — on a $400,000 purchase that is about $4,800 to $9,880 — and reconcile it against the Closing Disclosure line by line.
Which fees are actually worth fighting over in a low-cost state like West Virginia?
On a $123,200 purchase at the 1.72% West Virginia average, the whole package is around $2,119 (NAR, 2023-11-03), so the dollars at stake are smaller — but the same two categories still move. Lender origination, underwriting and processing fees are the most negotiable line items (The Lenders Network, undated), and title and settlement costs vary significantly by provider (The Lenders Network, undated). Recording fees are set by local government and non-negotiable (NerdWallet, undated), so skip those.
Sources
- Yahoo Finance — Average closing costs on a house in 2024
- National Association of Realtors (NAR) — States Where Closing Costs Are Highest, Lowest (2023-11-03)
- NerdWallet — What Are Mortgage Closing Costs? - NerdWallet
- The Mortgage Reports — Average Closing Costs 2026 | List of Closing Costs
- The Lenders Network — Closing Costs: Full Fee Breakdown for Homebuyers [2026]
- WalletHub — Closing Costs: What They Are and How Much They Cost
Written by
Maren Vickery
Maren shapes the publication's voice on housing markets and neighborhood change. She's drawn to the gap between how listings describe a place and how it actually feels to live there. Her editing favors plain language over jargon.
