As a first time homebuyer, you may be unaware of the costs expected when you are closing on a home. These fees are known as closing costs and is charged once you have made a real estate transaction, and your mortgage is almost completed. To help you get a better understanding, your local Orlando mortgage lender has listed below the most common closing costs.


  • Appraisal: This is where professionals come in and give the true value of a home or property.
  • Down Payment: A percentage of your home’s purchase price. If you obtain a conventional mortgage, or an FHA loan, and do not pay at least 20% of the purchase price, you will be required to obtain private mortgage insurance. However, if you qualify for a VA loan or a USDA loan, there is a zero percent down payment requirement. For more information on the specific mortgages in Orlando, please contact the Harper Mortgage Team at 407-614-3095.
  • Home Inspection: A home inspection is not required by every lender, but is highly recommended before you buy a new home. This inspection shows what exactly is working properly, and what needs fixing. Just because something looks new, does not mean it is in good standing condition.
  • Lawyer Fees: Charged by the lawyer for reviewing and signing off on the appropriate closing documents.
  • Origination Fee: Also referred to as an administration fee, is a common closing cost that is charged by the lender for processing your mortgage. This can be as much as 1-2% of the borrowing amount.
  • Private Mortgage Insurance: This is an insurance that is paid for by the borrower but only protects the lender in case of any defaults on the mortgage. This is a requirement if you do not pay at least 20% of your down payment on a conventional or FHA loan.
  • Title Insurance: Insures the lender if there is any problems with the property after the home has been signed over to the new owners.


For more information on closing costs, or to get started on your mortgage application, please contact your Orlando mortgage lender. The Harper Mortgage Team would love to work with you and help finance your dream home. So don’t wait, call their office today at 407-614-3095.