How to use this calculator
Enter the sale price, choose buyer or seller, and (if buyer) your loan type. The calculator estimates the typical line items for a Texas residential closing and totals them up, plus shows what percentage of the price your costs represent.
Buyers in Texas typically see closing costs around 2-3% of the purchase price. Sellers typically see 6-8%, of which the largest single item is the real estate commission. These are estimates - actual costs vary by lender, title company, and negotiation.
Frequently asked questions
What does “title insurance” cover and why do I need it?
Title insurance protects against ownership disputes - old liens, undisclosed heirs, surveying errors, fraudulent past transfers - that could surface years after closing. Texas title rates are promulgated (set by the state), so all title companies charge the same. There’s a one-time premium at closing, no annual renewal. Sellers traditionally pay the owner’s policy in Texas; buyers pay the lender’s policy. Both sit in the closing-cost line items.
Are closing costs negotiable?
Some are. Origination fees, document prep, and “junk fees” charged by lenders are often negotiable - shop multiple lenders and ask each for a Loan Estimate. Title insurance is fixed by the state, but you can negotiate who pays it. Inspections, surveys, and appraisals are paid by whoever orders them. Real estate commissions are negotiable between agent and client; we discuss this openly with every listing client.
What is a VA funding fee?
VA loans charge a one-time funding fee - between 1.25% and 3.3% of the loan amount, depending on whether it’s your first VA loan, the down payment percentage, and your service category. Disabled veterans receiving VA disability compensation are exempt from the fee entirely. The funding fee can be financed into the loan rather than paid upfront.
What’s an FHA Upfront MIP?
FHA loans charge an upfront Mortgage Insurance Premium of 1.75% of the loan amount at closing. Unlike VA, this fee applies to all FHA borrowers and cannot be waived. It can also be rolled into the loan amount.
Can sellers pay buyer closing costs?
Yes - and in many transactions they do. Seller-paid closing costs (“seller concessions”) are negotiated as part of the offer. Conventional loans typically allow up to 3-6% of the price in seller concessions; FHA allows 6%; VA allows 4%. This is one reason getting a strong agent on your side matters: knowing when and how much to ask for in concessions can save thousands without touching the headline price.
Why is your seller estimate higher than mine?
Most online closing-cost calculators only show the buyer side. On the seller side, the real estate commission alone is typically 5-6%. Add the owner’s title policy, tax proration, document prep, and HOA transfer (where applicable), and you get to roughly 7-8% of sale price total. We walk through every line in detail at the listing appointment.