Virginia closing costs: lower than most

According to BankRate.com, Virginia ranks 15th in the U.S. (out of 52) when it comes to closing costs — ours are lower than most states’. In 2010 we were among the most expensive, ranking 34th.

In 2011, Virginians pay an average of $1,450 in origination fees and $2,295 in title and closing costs — a total of $3,745. (Full breakdown here.) In contrast, Arkansasians Arkansasers people in Arkansas pay the least: an average total of $3,378. Or head up to New York, the most expensive state by a wide margin. Total closing costs there average $6,183.

Major caveat, though: “Researchers requested a good faith estimate for a $200,000 loan, assuming a 20 percent down payment and good credit.”

Click here for the full chart.

About Andrew Kantor

Andrew is VAR's editor and information manager, and -- lessee now -- a former reporter for the Roanoke Times, former technology columnist for USA Today, and a former magazine editor for a bunch of places. He hails from New York with stops in Connecticut, New Jersey, Cincinnati, Columbus, and Roanoke.
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One Response to Virginia closing costs: lower than most

  1. Lenn Harley says:

    This is a fairly worthless study. With a 20% down model, that origination fee is optional and affects the interest rate, but could just as easily be ZERO.

    Taxes, OTOH, which do vary from state to state DO affect the closing costs significantly. Maryland, for instance, has (county by county) very high transfer and recordation taxes, up to 2.5% of the purchase price.

    In orver 2 decades of selling in MD and VA, many of my buyers have elected to buy in Virginia simply due to the high transfer/recordation fees in MD.

    Why was this study even done if one of the highest costs of purchase (taxes) was omitted???

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