Closing costs low in Midwest
Want to pay a lot less in closing costs? Apparently, to save on closing costs, you should head to the Midwest. According to a new report from ClosingCorp, Missouri, Indiana and Iowa all claim some of the lowest average closing costs in America.Verify your new rate (Feb 17th, 2019)
Missouri takes the cake
ClosingCorp’s report took into account average closing costs in each state, including costs of lender and owner titles, settlements, appraisals, transfer taxes, recording fees, inspections, land surveys and more.
According to its findings, the average U.S. buyer pays $4,876 in closing costs. But in Missouri, those costs are nearly halved. Buyers in the Show-me State pay just $2,905 come closing day.
Indiana buyers see the second-lowest closing costs in the nation, with just $2,934 on average. South Dakota, Iowa and North Carolina rounded out the top five list.
At the metro level, Muncie, Indiana had the lowest average closing costs in the nation at $2,785. Other low-cost metros included Marion, Indiana; Kokomo, Indiana; Indianapolis; and Jefferson City, Missouri.
Highest closing costs
On the other end of the spectrum, the District of Columbia came in with the highest closing costs in the country. D.C. buyers pay an average of $12,573 per transaction.
New York took the No. 2 spot, with $9,341 in average closing costs, while Delaware, Maryland and Vermont rounded out the top five.
According to Bob Jennings, ClosingCorp’s CEO, closing costs vary greatly depending on state, city and county.
“For example, five counties in New York — Kings, Queens, Bronx, Richmond and Suffolk — had the highest closing costs, going well above the national and state average, due to having some of the highest transfer taxes in the country,” Jennings said.”
The San Francisco area also ranked among the metros with the highest closing costs. According to the report, Bay Area residents pay an average of $8,907 per transaction.
Today’s mortgage rates
A home’s price, the closing costs and your mortgage rate will all play into the final cost of your home purchase. Want to ensure you get the best deal? Shop around and see what rates you qualify for today.