How do Closing Costs Work?

"Closing Costs" are the fees which cover various services involved in the sale of a home. Sellers and buyers usually negotiate to determine who will pay different portions of these costs.

As you'll see below, many of the buyer's costs cover the costs of originating the mortgage loan. At Dayspring Bank, we have extensive experience 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 (LE)

Buyers will receive a "Loan Estimate" of closing costs at the time the loan application is submitted to the lender. The closing costs specified in the Loan Estimate are estimated based on our experience with mortgage loans, but costs often change a little bit between delivery of the Loan Estimate (LE) and closing. We field questions about closing costs every day at Dayspring Bank, so don't hesitate to ask if you have questions.

Below you'll find a generic list of closing costs. We will always provide a specific list of your closing costs when we provide your Loan Estimate.

Standard Closing Costs

Loan-Related Costs
  • Various Taxes
  • Costs related to "originating" your loan
  • Points — A fee paid to lower your interest rate (optional)
  • Appraisal Costs
  • Getting Your Credit Report
  • Up-front Interest Payment
  • Escrow Fees
Property Taxes
  • Insurance
  • Transfer Taxes & Recording Fees
Homeowners Insurance
  • Title Insurance
  • Flood or Quake Insurance if applicable
  • Private Mortgage Insurance (PMI)

At Dayspring Bank, we answer questions about closing costs every day. Call us at 4025970500.

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Dayspring Bank

NMLS # 721567

5370 S 72nd St
Ralston, NE 68127-2854