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Mortgage Glossary

Closing Costs

Defined by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker

Closing costs are the fees and prepaid expenses, beyond your down payment, that you pay to finalize a mortgage.

What Closing Costs means

They include lender origination, appraisal, title insurance, recording fees, and prepaid taxes and insurance. In Florida, closing costs typically run 2–5% of the purchase price, partly because of the documentary stamp tax.

Florida example

On a $350,000 Florida home, expect $7,000–$17,500 in closing costs. You can offset much of it with seller concessions or a lender credit, which trades a slightly higher rate for cash toward your costs.

What closing costs include

Closing costs are the fees to finalize your loan and purchase. They cover the appraisal, title work, lender fees, taxes, and prepaid insurance. In Florida they usually run 2% to 5% of the price.

On a $300,000 home, that is roughly $6,000 to $15,000, separate from your down payment.

Ways to lower them

You can ask the seller for a concession, take a lender credit in exchange for a slightly higher rate, or use a down payment assistance program that covers closing costs.

We look for every way to trim your cash to close. Reach out and we will map your true closing costs and how to reduce them.

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