Iowa: one of the least expensive states for closing costs

According to MSN Real Estate, Iowa is the 4th cheapest state in terms of closing costs. You can expect to pay about $1,547 in bank origination fees; $1,710 in third-party fees, appraisals, and title insurance; for  $3,257 in approximate closing costs. But for fun let’s compare that to something in New York: $1,183 in bank origination fees; $3,622 in third-party fees, appraisals, and title insurance; totaling $5,435 in closing costs. That’s a difference of over $3,700!!  This is all the more reason to purchase your home in Cedar Rapids or the surrounding communities! Here is a break down of the average fees you may see on your closing day here in the good ol’ Hawkeye State:

Appraisal Fee – $275 to $475
Credit Report – $30
Flood Certification Fee – $11
Abstract or Title Search – $150
Title Examination – $175
Title Guaranty – $110
Recording Fees – $110 (Government fees for recording the deed, mortgage and releases into public record).
Processing Fee – $150 to $500

Actual closing costs do vary lender to lender and program to program. When you apply for your loan, your lender will give you a truth in lending statement. This will give you a better idea of your actual closing costs. Knowing the approximate closing costs will give you a chance to line up some money for closing costs and down payment before you need it. Here are some great ideas of where to find money for your down payment and closing costs:

Down Payment Assistance for Iowa home buyers

Military Homeownership Assistance Program

Where to get your hands on money for your down payment

Give me a call, and together we can find what you’re looking for and get to closing day easier than you thought!