Average Mortgage Closing Costs By State

Buying a home is one of the biggest investments you may ever make, but the price doesn’t provide the truth of how much you’ll want to get the keys. You’ll also need to take into account settlement costs, what are fees related to getting a mortgage, like appraisal and credit assessment fees. There is no one-size-fits-all for settlement costs; they vary by lender and also the others providing services you need to close your mortgage, such as title insurance. One other big component that impacts your closing cost tab: where you’re buying.

Average settlement costs on a home by state

Here are the average settlement costs by state as of 2022 (in order of highest closing costs for a purchase), based on ClosingCorp:

State Closing costs for home purchase (including taxes) Closing costs for refinancing (including taxes)
Source: ClosingCorp
Washington, D.C. $29,888 $3,370
Delaware $17,859 $7,223
New York $16,849 $10,084
Maryland $14,721 $4,096
Washington $13,927 $3,824
Pennsylvania $10,634 $7,614
Connecticut $8,821 $2,678
Florida $8,554 $5,821
New Hampshire $8,183 $2,283
Massachusetts $7,964 $2,486
California $7,953 $5,762
New Jersey $7,915 $4,963
Vermont $7,906 $2,356
Hawaii $7,463 $4,730
Nevada $6,383 $3,586
Virginia $6,346 $3,230
Illinois $5,929 $2,066
Michigan $5,714 $3,011
Rhode Island $5,568 $2,037
Utah $4,837 $2,380
Arizona $4,701 $1,798
Texas $4,548 $3,588
Maine $4,420 $2,944
Oregon $4,327 $3,271
Ohio $4,223 $2,091
Idaho $4,082 $3,253
Minnesota $4,011 $2,369
Tennessee $3,911 $2,436
Colorado $3,881 $2,266
Georgia $3,762 $2,727
Louisiana $3,711 $2,523
Alaska $3,581 $2,671
New Mexico $3,513 $2,693
Wisconsin $3,459 $2,067
South Carolina $3,447 $3,009
North Carolina $3,406 $2,660
West Virginia $3,406 $3,370
Montana $3,337 $2,657
Iowa $3,146 $2,043
Arkansas $3,115 $2,223
South Dakota $3,105 $2,388
Alabama $2,986 $1,914
Oklahoma $2,893 $2,918
Kentucky $2,802 $1,907
Kansas $2,793 $2,150
Nebraska $2,781 $2,038
Mississippi $2,756 $1,810
Wyoming $2,589 $2,069
North Dakota $2,501 $2,067
Indiana $2,200 $1,447
Missouri $2,061 $1,405

What are closing costs?

Closing costs are the upfront fees you have to pay when receiving a mortgage. In 2022, the typical settlement costs nationally for that purchase of a single-family home were $6,905 including taxes and $3,860 without, based on ClosingCorp.

In general, closing costs cover:

  • Credit check
  • Title search and insurance
  • Appraisal
  • Attorney’s fees
  • Origination fee
  • Application fee
  • Underwriting fee
  • Transfer taxes, if applicable

Together, these typically range from 2 percent to five percent of the amount you’re borrowing for your mortgage.

You’ll also pay closing costs when you refinance your mortgage. Those costs, however, are usually reduced: ClosingCorp reported typically just $2,375 for refinance closing costs this past year.

States without any transfer taxes

One of the expenses that contributes to settlement costs: property transfer taxes, which cover the cost of transferring a title or deed in the seller towards the buyer. These states have no transfer taxes:

  • Alaska
  • Idaho
  • Indiana
  • Louisiana
  • Kansas
  • Mississippi
  • Missouri
  • Montana
  • New Mexico
  • North Dakota
  • Oregon (unless you’re buying in Washington County)
  • Texas
  • Utah
  • Wyoming
Top 5 markets with highest average settlement costs (with taxes)
Source: ClosingCorp
1. Vineyard Haven, Massachusetts $28,724
2. Bremerton-Silverdale-Port Orchard, Washington $16,003
3. Salisbury, Maryland-Delaware $15,723
4. Dover, Delaware $13,799
5. New York-Newark-Jersey City, Ny, New Jersey, Pennsylvania $13,596
Top 5 markets with highest average settlement costs (without taxes)
Source: ClosingCorp
1. Santa Maria-Santa Barbara, California $7,063
2. Kahului-Wailuku-Lahaina, Hawaii $7,016
3. San Jose-Sunnyvale-Santa Clara, California $6,412
4. Santa Cruz-Watsonville, California $6,363
5. Stockton, California $6,137

About this PAGE

  • Average closing costs on a home by state
  • What are closing costs?
  • States without any transfer taxes

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