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What Are Closing Costs?

Closing costs are the final expenses paid at the end of a home purchase—usually covering things like title fees, inspections, appraisals, and lender charges. They’re often between 2–5% of the home’s purchase price, and understanding them early helps you plan with confidence.

Why They Matter

Many first-time buyers focus on saving for a down payment but forget about closing costs. These fees can add up quickly, so preparing for them ensures a smoother closing experience without last-minute surprises.