Buying your first home is an exciting milestone, but it also comes with financial responsibilities that go beyond the down payment. One of the most overlooked expenses is first time home buyer closing costs, which can surprise many new buyers.

What Are Closing Costs?

Closing costs refer to the fees and expenses paid when finalizing a real estate transaction. These costs typically include loan origination fees, title insurance, home inspections, property taxes, and more. For first-time buyers in Denver, it’s essential to understand what’s included to budget accordingly.

How Much Do Closing Costs Cost?

On average, first time home buyer closing costs range from 2% to 5% of the home’s purchase price. For example, if you're buying a $400,000 home, you could pay between $8,000 and $20,000 in closing fees. These costs can vary depending on location, loan type, and the complexity of the deal.

How to Reduce Your Closing Costs

Working with a knowledgeable real estate agent, like the professionals at Denver Rebate Agent, can help you save significantly. Some lenders may offer credits or discounts, and buyers may also negotiate for the seller to cover a portion of the first time home buyer closing costs.

Plan Ahead for a Smooth Closing

To avoid last-minute surprises, request a Loan Estimate early in the process. This document outlines all expected charges, helping you plan your finances. Understanding first time home buyer closing costs empowers you to make confident, informed decisions.

At Denver Rebate Agent, we guide first-time buyers through every step of the home-buying journey, helping you save where it matters most. Ready to get started? Contact us today!