Closing Costs: When you close on a house you must pay for expenses like appraisal fees, home inspections, title insurance, lien searches, surveys and lenders fees. You’ll also need to cover property taxes and homeowner’s insurance for the rest of the Lenders call these prepaid items. Your real estate agent and lender will give you a detailed list of these costs before your closing day. On average, you’ll pay 3–4% of the purchase price of your home in closing fees. For a $300,000 home, that’s another $9,000–$12,000 you’ll need to save on top of your down payment.
Ask your agent and lender about closing cost credits from the seller, lender, and government programs. Bottom line: Preparedness is key. If you don’t have enough money saved for these upfront costs, you’ll either need to hold off on your home purchase or aim a little lower with your price range. Whatever you do, don’t let the closing costs keep you from making the biggest down payment possible. Research, ask, and take advantage of all your options. Once you are comfortable with your budgeting for a home purchase, shop around lenders to get pre-approved for a mortgage. 
