How do Closing Costs Work?

Certain standard costs are related to closing the sale of a house. Buyers and sellers almost always split these closing costs, as the real estate sales contract specifies.

As indicated below, many of the buyer's closing costs are related to the costs of getting the loan. At Firelight Mortgage Consultants, we are highly experienced in residential mortgage lending, so we can provide you with a comprehensive report on mortgage-related costs in your "Loan Estimate".

The Loan Estimate (LE)

Very shortly after you apply for a loan, we will give you the "Loan Estimate" of your costs. The closing costs specified in the LE are estimated based on our experience with mortgage loans, but costs usually vary by small amounts between delivery of the LE and closing. We answer buyers' questions about closing costs every day at Firelight Mortgage Consultants, so please be sure to contact us if you have questions.

Below is a fairly general list of costs for buying residential real estate. We will always provide a specific list of your closing costs when we give you a Loan Estimate.

Standard Closing Costs

Loan-Related Costs
  • Loan-related costs
  • Points — These are costs you pay up-front to lower your mortgage interest rate (optional)
  • Appraisal Fee
  • Obtaining Your Credit Report
  • Up-front Interest Payment
  • Escrow Fees
  • Various Taxes
Property Taxes
  • Transfer Taxes & Recording Fees
  • Insurance
Homeowners Insurance
  • Title Insurance
  • Flood / Earthquake Insurance
  • Private Mortgage Insurance (PMI)

At Firelight Mortgage Consultants, we answer questions about closing costs every day. Call us: 7209331025.

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Firelight Mortgage Consultants

Company NMLS#: 381658

6160 S Syracuse St. Suite 150
Greenwood Village, CO 80111