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What are the average closing costs on FHA loans?

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Quick Answer

The average closing costs of an FHA home loan is 2 to 5 percent of the home's purchase price, according to QualifiedMortgage. Thus, for a mortgage of $200,000, closing costs run between $4,000 and $10,000. Some typical closing costs include a variety of expenses that often occur during the origination and underwriting of the mortgage and during the actual settlement process.

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Full Answer

Some typical closing costs include credit reports, home appraisals and inspections and title searches, reports QualifiedMortgage. Other closing costs include courier, recording, processing and survey fees. Closing costs vary widely based on the size of the loan, the state in which the mortgage is written and whether or not the buyer chooses to pay points in order to get a lower rate of interest.

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