Mortgage closing costs decrease

by Meridith Doucette on August 6, 2012

Recently released statistics from Bankrate.com’s eighth annual closing costs survey revealed that the average cost to close on a mortgage in the United States decreased 7 percent this past year to $3,754.

The survey also revealed that title insurance and other third-party fees decreased by 12 percent from 2011, while origination fees dropped by 1 percent.

“This is the second year in which lenders are required to estimate third-party fees within 10 percent of the final cost,” said Greg McBride, CFA, Bankrate.com’s senior financial analyst. “It seems like they’re getting more accurate, which helps explain the sharp decrease in these fees over the past year. The main lesson of this survey for consumers is to shop around for at least three different estimates.”

For the third year in a row, New York State produced the nation’s most expensive closing cost, totaling an average of $5,435.

With the prices of mortgage closing costs decreasing, more Americans might find owning new homes to be more feasible.

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