Wondering how much cash you need on top of your down payment to buy in Monroe County? You are not alone. Closing costs can feel confusing, especially when fees vary by lender, title company, and timing. This guide breaks down what closing costs include, what is typical in the Rochester area, how seasonality can shift your totals, and simple ways to estimate early so you can plan with confidence. Let’s dive in.
What closing costs cover
Closing costs are the one‑time expenses due when you finalize your purchase. They include lender fees, third‑party services, prepaids, and county recordings. For a plain‑English primer on what closing costs include, review the Consumer Financial Protection Bureau’s overview of closing costs.
Common items you may see:
- Lender fees: origination, processing, underwriting, appraisal, credit report.
- Title and settlement: title search, title insurance, settlement or attorney fee, recording fees.
- Inspections and surveys: home inspection, radon or pest tests, survey if required.
- Prepaids and escrow: first year of homeowner’s insurance, prepaid interest, property tax proration, and initial escrow deposits.
- Local or state charges: transfer taxes by contract custom, and any recording fees.
How much to budget
As a rule of thumb, buyers often plan for about 2% to 5% of the purchase price in closing costs. In Monroe County and the broader Rochester area, totals often land toward the lower end of that range. Your number may be higher if you buy discount points to reduce your rate, take a larger loan, or add specialty inspections.
You will receive two key disclosures that help you plan and verify:
- A Loan Estimate within 3 business days of applying for a mortgage. See the CFPB’s explainer on the Loan Estimate.
- A Closing Disclosure at least 3 business days before you sign. Learn what to expect in the Closing Disclosure.
Use these forms to compare lenders and confirm final numbers before closing.
Monroe County cost breakdown
Lender and loan fees
- Origination charge: typically 0.5% to 1% of the loan amount, or a flat fee. Many lenders also list processing or underwriting fees that range roughly $300 to $1,200.
- Appraisal: about $350 to $700 for a single‑family home in the Rochester area.
- Credit report: about $25 to $75. Small third‑party checks, like flood or tax service, are usually modest.
- Discount points: optional fee equal to a percentage of your loan amount to buy down the rate.
- Mortgage taxes: New York has transfer and mortgage recording taxes that can vary. Confirm with your lender and title company for Monroe County specifics.
Many lender charges are negotiable or can be offset with lender credits. You can also shop lenders.
Title, search, and settlement
- Title search or exam: often $200 to $500.
- Lender’s title insurance: required when you finance a home, priced by loan amount.
- Owner’s title insurance: optional but recommended to protect your ownership; a one‑time premium that scales with the purchase price.
- Settlement or closing fee: commonly $200 to $600.
- County recording fees: set by the Monroe County Clerk and not negotiable. For current schedules, consult the Monroe County Clerk.
Owner’s title insurance is optional, though many buyers choose it for long‑term protection.
Inspections and surveys
- Home inspection: generally $300 to $600.
- Specialty tests: pest, radon, septic, chimney, HVAC, or lead paint often range $100 to $600 each.
- Survey: $300 to $1,000 if required. Many suburban sales rely on an existing survey.
You pay vendors directly. If issues arise, you can request repairs or credits from the seller.
Prepaids and escrow deposits
- Prepaid interest: interest from your closing date until your first payment.
- Homeowner’s insurance: often the first year’s premium is due at closing.
- Property tax proration: you reimburse the seller for any taxes already paid for the period after closing.
- Initial escrow deposit: lenders usually collect several months of taxes and insurance to fund your escrow account. Under RESPA, lenders can collect a cushion within regulated limits.
These items reflect real bills and required reserves. They are generally not negotiable, though seller credits can offset them.
State and local taxes
- Transfer tax: in much of upstate New York, sellers commonly pay state transfer tax by local custom, but the contract controls this and it is negotiable.
- Recording fees: set by the county and not negotiable.
Confirm the exact allocation and amounts with your title company.
Sample budgets you can use
These examples are for planning. Your final numbers will depend on loan type, price, date, and lender.
First‑time buyer example
- Purchase price: $180,000
- Typical budget range: 2.0% to 3.0% of price
- Estimated total: $3,600 to $5,400
- Representative breakdown at 2.5% (~$4,500):
- Lender fees and appraisal: $1,200
- Title and title insurance: $900
- Inspections: $450
- Recording and misc.: $150
- Prepaids and escrow: $1,800
Move‑up buyer example
- Purchase price: $350,000
- Typical budget range: 2.0% to 4.0% of price
- Estimated total: $7,000 to $14,000
- Representative breakdown at 3.0% (~$10,500):
- Lender fees and appraisal: $2,500
- Title and title insurance: $2,000
- Inspections: $800
- Recording and closing fees: $300
- Prepaids and escrow: $4,900
These examples show how percentages scale. The same percentage on a higher price produces a larger dollar total.
What you can negotiate
- Lender fees: origination, processing, and points. Ask about lender credits and compare Loan Estimates.
- Seller credits: negotiate a contribution to your closing costs, subject to loan program limits.
- Rate buy‑downs: optional and negotiable.
- Title company choice: you can often shop for title and settlement services.
- Post‑inspection credits or repairs: request credits if inspections uncover issues.
Fixed items include county recording fees, most prepaids, and required reserves.
Winter vs. spring timing tips
- Spring market: busier season can mean faster sales and fewer seller concessions. Higher prices also increase the dollar amount of percentage‑based costs.
- Winter and holidays: often slower, which can open the door to seller credits. Build in extra time for title work and scheduling around holidays and weather.
- Practical impacts: appraisal and inspection timelines may vary by season. Property tax proration depends on your specific closing date and local tax calendars, which can change your cash to close.
Plan a little cushion for weather or scheduling delays in winter.
Estimate your total early
Use this quick checklist to price out your closing costs and stay on track:
- Ask what sellers typically pay locally so you know your share.
- Get a Loan Estimate from at least three lenders within 24 to 72 hours of applying, then compare totals.
- Request itemized lender fees, appraisal, credit report, discount points, and a prepaid interest estimate for your target closing date.
- Ask the title company for title premiums, settlement fees, and Monroe County recording costs.
- Add inspections, tests, a possible survey, HOA transfer fees, movers, and your first year insurance premium.
- Add a 10% to 15% cushion for prorations, repairs, or timing changes.
- Review your Closing Disclosure at least 3 business days before closing and compare it to your Loan Estimate. Ask questions about any changes.
Local help and assistance
- SONYMA: Explore down payment and closing cost assistance through the State of New York Mortgage Agency. Review eligibility and options on the SONYMA programs page.
- HUD counseling: Work with a local housing counselor for budgeting and guidance. Find a provider through HUD‑approved housing counseling agencies.
- County and city programs: Monroe County or the City of Rochester may offer grants that change over time. Check with your lender, counselor, or title company for current offerings.
If you want help mapping these programs to your budget, our team can guide you step by step.
Ready to get your numbers dialed in and write a strong offer with confidence? Reach out to the local experts at Griffith Realty Group to review your plan and next steps.
FAQs
Who pays New York transfer tax in Monroe County?
- Allocation is contract specific. In many upstate transactions the seller pays the state transfer tax by local custom, but buyers and sellers can negotiate this. Confirm with your title company.
Is owner’s title insurance required for buyers?
- No. A lender’s policy is required when you finance, but an owner’s policy is optional and often recommended to protect your equity with a one‑time premium.
When will I know my exact closing costs?
- You receive a Closing Disclosure at least 3 business days before closing with final costs. Use it to compare against your earlier Loan Estimate and ask about any changes.
Can I roll closing costs into my mortgage?
- Sometimes. It depends on the loan program and loan‑to‑value limits. Rolling in costs increases your loan amount and monthly payment and can affect mortgage insurance.
Can the seller pay some of my closing costs?
- Yes. Seller credits are negotiable, and your loan type sets limits on the percentage allowed. Ask your lender for the cap and structure credits in your offer.
How do prepaids and escrow affect cash to close?
- Your cash to close includes your down payment minus any credits, plus closing costs. Prepaids like insurance, tax proration, and initial escrow deposits are part of those closing costs and vary by date and local tax schedules.
