How do Closing Costs Work?

All residential real estate sales incurs certain costs. Buyers and sellers customarily share these costs, as the real estate sales contract specifies. 

As you'll see below, many of the buyer's closing costs are related to the costs of getting the mortgage loan. At Tyler Home Mortgage, we are highly experienced in residential mortgage lending, so we can provide you with a comprehensive report on mortgage-related closing costs in your "Loan Estimate".

The Loan Estimate (Also know as the LE)

Soon after you submit your application, we will give you the "Loan Estimate" of your costs. The closing costs spelled out in the LE are estimated based on our experience with mortgage loans, but costs often change by small amounts between the LE and closing. We handle questions about closing costs every day at Tyler Home Mortgage, so don't hesitate to ask if we can help answer your questions.

Below is a general list of costs for buying a home. We will provide you with a specific list of your closing costs when we provide your Loan Estimate.


Standard Closing Costs

Loan-Related Costs
  • Taxes
  • Costs associated with "originating" your loan
  • Points — These are costs you pay up-front to lower your interest rate (optional)
  • Appraisal Fee
  • Credit Report
  • Up-front Interest Payment
  • Escrow Account
Property Taxes
  • Recording Fees & Transfer Taxes
  • Insurance
Homeowners Insurance
  • Flood or Quake Insurance if applicable
  • Private Mortgage Insurance (PMI)
  • Title Insurance
At Tyler Home Mortgage, we answer questions about closing costs every day. Give us a call at (903) 630-7049.