- Bankrate.com releases mortgage closing cost comparison.
- Survey finds Colorado closing costs 12th most expensive int he nation.
- Colorado closings costs are 3.4% high than the national average.
Colorado has the 12th most expensive home mortgage closing costs in the U.S., according to a national report released on Monday by Bankrate.com.
The average closing cost on a $200,000 loan in Colorado was $1,910, according to Bankrate. That is 3.4 percent higher than the national average $1,847, according to BankRate, which surveyed up to 10 lenders in all 50 states and Washington, D.C. in June.
The good faith estimates are based on a person with excellent credit buying a single-family home with a 20 percent down payment.
Costs include fees charged by lenders, as well as third-party fees for services such as appraisals.
The survey excluded discount points, taxes, title fees, property insurance, association fees, interest and other pre-paid items. Bankrate, based in New York City, is an online publisher, aggregator, and distributor of personal finance information in the U.S. and internationally. It has a market cap of almost $1 billion.
Closings costs in Colorado are about 9.7 percent lower than in Hawaii, where closings costs are $2,163, the most expensive in the nation.
However, Colorado closing costs are 18.4 percent higher than the $1,613 charged in Ohio, which had the lowest closing costs in the nation.
Also, only a few dollars separated closings costs in many of states. For example, closing costs in Montana were only $6 more than in Colorado, while closings costs in New York and North Carolina were only $1 more than in Colorado.
Overall, mortgage closings costs have dropped 7 percent over the past year, according to Bankrate’s analysis.
Nationwide, the average origination fee declined 22 percent to $1,041 and the average third-party fee rose 22 percent to $807.
In Colorado, the average origination fee was $1,192 and the average third-party fee as $719.
When choosing a lender, it pays to shop, according to Bankrate.
“Homebuyers have more say over closing costs than they think,” said Holden Lewis, Bankrate.com’s senior mortgage analyst.
“Costs vary between lenders, so everyone should compare at least three different options,” Lewis said.
“You don’t have to go with the lender your agent suggests,” he added.
Have a story idea or real estate tip? Contact John Rebchook at JRCHOOK@gmail.com. DenverRealEstateWatch.com is sponsored by 8z Real Estate. To read more articles by John Rebchook, subscribe to the Colorado Real Estate Journal.