Budget around 2% of the purchase price: roughly 1% in actual closing costs and 1% in prepaids. The first 1% covers lender fees, title, escrow, and the appraisal. The other 1% or so is prepaids, meaning the property taxes and homeowners insurance collected up front to set up your impound account. That prepaid piece swings with the time of year and how many months get collected, so treat it as an estimate. Discount points would stack on top of the 2%. We lean against paying points as a default, but a buydown comparison is something some people want to see, and we will run that math for you. Government loans add one more line. FHA charges an upfront mortgage insurance premium of 1.75% of the base loan amount, and you choose whether to pay it in cash at closing or roll it into the loan; most buyers finance it, so on a big loan the premium can look alarming on paper without being money out of pocket at the table. The only document that gives you the real numbers is your Loan Estimate, which every lender must provide on the same standardized form so you can compare them side by side. If a quote looks high, get a second opinion before assuming you are overcharged. If you want us to sanity-check your figures against what your scenario should actually run, that is exactly what we walk through on the free Roadmap conversation.