Closing Costs in New Hampshire: A Comprehensive Guide

The median home value in New Hampshire is $479,363. Closing costs for buyers range from 2% to 5% of the purchase price, depending on factors such as loan type, home value, sale contingencies, and local laws. Buyers can reduce costs by negotiating with lenders, requesting seller concessions, or opting for a no-closing-cost mortgage. Sellers, on the other hand, typically pay 6% to 10% of the home’s price, which includes agency commissions. In summary, for a median-priced home in New Hampshire, buyers can expect to pay $9,587 to $23,968 in closing costs, while sellers may pay $28,762 to $47,936.

Key Takeaways

  • The median home value in New Hampshire is $479,363.
  • Buyers in New Hampshire can expect to pay 2% to 5% of the purchase price in closing costs, amounting to $9,587 to $23,968 for a median-priced home.
  • Sellers typically pay 6% to 10% of the home’s price, including agency commissions, which equates to $28,762 to $47,936 for a median-priced home.
  • Closing costs for buyers can be reduced through negotiations with lenders, seller concessions, or opting for a no-closing-cost mortgage.
  • The exact closing costs depend on various factors, such as loan type, home value, sale contingencies, and local laws.

What Are Closing Costs in New Hampshire?

Closing costs are fees associated with finalizing a real estate transaction. These expenses are separate from the property’s purchase price and cover various services, such as appraisals, inspections, title searches, and more. Both buyers and sellers in New Hampshire are responsible for paying specific closing costs.

Also read: Estimating Closing Costs for Homebuyers in Montana

Different Types of Closing Costs

For Home Buyers

Home buyers in New Hampshire typically encounter the following closing costs:

  1. Origination fees
  2. Appraisal fees
  3. Credit report fees
  4. Title insurance
  5. Property taxes
  6. Homeowners insurance
  7. Private Mortgage Insurance (PMI) for down payments less than 20%
  8. Recording fees

For Home Sellers

Home sellers in New Hampshire usually pay the following closing costs:

  1. Real estate agent commissions
  2. Transfer taxes
  3. Prorated property taxes
  4. Title insurance
  5. Attorney fees
  6. Mortgage payoff and prepayment penalties
  7. HOA fees (if applicable)

Who Pays Closing Costs in New Hampshire

In New Hampshire, both buyers and sellers are responsible for paying their respective closing costs. However, some closing costs are negotiable, and it’s not uncommon for buyers to request seller concessions to help cover a portion of their expenses. The specific closing costs and who pays them can vary depending on the terms of the purchase agreement.

Who Pays Closing Costs on FSBO in New Hampshire

In a For Sale By Owner (FSBO) transaction, the buyer and seller are still responsible for their respective closing costs. However, since no real estate agents are involved, the seller may save on commission fees. It’s essential for both parties to work with experienced real estate attorneys to ensure a smooth and legal transaction.

Also read: How Much Are Closing Costs in Mississippi: Complete Guide

How Much are Closing Costs in New Hampshire

In New Hampshire, closing costs for buyers range from 2% to 5% of the home’s purchase price, while sellers typically pay 6% to 10%, including agency commissions. For a median-priced home of $479,363 in New Hampshire, buyers can expect to pay between $9,587 and $23,968 in closing costs, and sellers may pay between $28,762 and $47,936. The exact costs depend on factors such as loan type, home value, and local laws.

Here’s a table showing the estimated closing costs for buyers and sellers in New Hampshire based on different home prices:

Home PriceBuyer Closing CostsSeller Closing Costs
$200,000$4,000 – $10,000$12,000 – $20,000
$300,000$6,000 – $15,000$18,000 – $30,000
$400,000$8,000 – $20,000$24,000 – $40,000
$500,000$10,000 – $25,000$30,000 – $50,000
$600,000$12,000 – $30,000$36,000 – $60,000
$700,000$14,000 – $35,000$42,000 – $70,000
$800,000$16,000 – $40,000$48,000 – $80,000
$900,000$18,000 – $45,000$54,000 – $90,000
$1,000,000$20,000 – $50,000$60,000 – $100,000

How Much Are Closing Costs for Buyers in New Hampshire

Buyers in New Hampshire can expect to pay between 2% and 5% of the home’s purchase price in closing costs. For example, on a $300,000 home, the closing costs would range from $6,000 to $15,000.

How Much Are Closing Costs for Sellers in New Hampshire

Sellers in New Hampshire typically pay between 6% and 10% of the home’s purchase price in closing costs, which includes real estate agent commissions. On a $300,000 home, the seller’s closing costs would range from $18,000 to $30,000.

Factors impacting Closing Costs in New Hampshire

Several factors can impact the total closing costs in New Hampshire:

  1. Home price
  2. Loan type (conventional, FHA, VA, etc.)
  3. Down payment size
  4. Credit score
  5. Local laws and regulations
  6. Real estate market conditions

Tips for Reducing Closing Costs in New Hampshire

There are several ways to reduce closing costs in New Hampshire:

  1. Shop around for lenders and compare fees
  2. Negotiate with the lender to waive or reduce certain fees
  3. Request seller concessions
  4. Opt for a no-closing-cost mortgage (higher interest rate)
  5. Schedule the closing date near the end of the month to minimize prepaid interest

Also read: Closing Costs in Massachusetts? Key Insights for Buyers

How to Avoid Paying Closing Costs When Buying a House

While it’s not possible to avoid paying closing costs entirely, there are ways to minimize your out-of-pocket expenses:

  1. Negotiate with the seller to pay a portion of your closing costs
  2. Ask for a no-closing-cost mortgage (higher interest rate)
  3. Apply for closing cost assistance programs
  4. Use gift funds from family members to cover closing costs

How to Calculate Closing Costs

To calculate your estimated closing costs in New Hampshire, follow these steps:

  1. Determine the home’s purchase price
  2. Multiply the purchase price by the expected closing cost percentage (2% to 5% for buyers, 6% to 10% for sellers)
  3. Add any additional fees specific to your situation (e.g., HOA fees, property taxes)

For a more accurate estimate, consult with a local real estate agent or lender who can provide a detailed breakdown of your expected closing costs.

Steps to Prepare for Closing

To ensure a smooth closing process:

  1. Review and compare the Loan Estimate and Closing Disclosure documents
  2. Schedule a final walk-through of the property
  3. Obtain a cashier’s check or arrange a wire transfer for the total amount due at closing
  4. Gather necessary documentation (identification, proof of insurance, etc.)
  5. Attend the closing meeting and sign the required paperwork

How to Find a Trusted Real Estate Agent in New Hampshire

Working with a trusted real estate agent can make navigating the closing process much easier. To find a reliable agent in New Hampshire:

  1. Ask for referrals from friends, family, or colleagues
  2. Research online reviews and ratings
  3. Interview multiple agents and ask about their experience and expertise
  4. Choose an agent who communicates well and has a proven track record of successful transactions

Conclusion

Understanding closing costs is a critical aspect of purchasing or selling a home in New Hampshire. By familiarizing yourself with the various types of closing costs, who pays them, and how much you can expect to pay, you’ll be better prepared to navigate the real estate transaction process. Remember to work with trusted professionals, such as experienced real estate agents and lenders, who can guide you through the closing process and help you make informed decisions.

Frequently Asked Questions (FAQ)

What is the closing cost in NH?

In New Hampshire, closing costs typically range from 2% to 5% of the home’s purchase price for buyers and 6% to 10% for sellers. For a median-priced home of $479,363, buyers can expect to pay $9,587 to $23,968, while sellers may pay $28,762 to $47,936 in closing costs.

How much does it cost to buy a house in New Hampshire?

The cost of buying a house in New Hampshire includes the purchase price and closing costs. With a median home value of $479,363 and buyer closing costs ranging from 2% to 5%, the total cost of buying a median-priced home would be between $489,950 and $503,331.

Who pays most closing costs?

In New Hampshire, sellers typically pay more in closing costs than buyers. While buyers pay 2% to 5% of the purchase price, sellers pay 6% to 10%, which includes real estate agent commissions. However, the exact distribution of closing costs can be negotiated between the buyer and seller.

Who Pays the Most Closing Costs?

Sellers in New Hampshire generally pay the most in closing costs, as they are responsible for 6% to 10% of the home’s purchase price, which includes real estate agent commissions. For a median-priced home of $479,363, sellers may pay $28,762 to $47,936 in closing costs.

Razib

Razib is a skilled writer with 5 years of experience specializing in technology, finance, automotive and real estate. A BBA graduate from 2014, Razib's passion for these industries shines through in his informative and engaging content. His ability to break down complex topics and stay current on the latest trends makes him a valuable resource for readers seeking to understand these dynamic fields.

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