Your down payment isn’t the only cash you’ll need at closing. Buyers also pay closing costs, and knowing what’s included helps you avoid surprises.
Lender charges
These vary by lender and loan type and can include origination or underwriting fees, discount points if you choose to buy down your rate, a credit report fee and the appraisal. Your Loan Estimate lists them in detail, so compare estimates from more than one lender.
Title and recording costs
In Wisconsin the seller customarily pays for the owner’s title insurance policy. Buyers with a mortgage typically pay for the lender’s title policy and the title company’s closing fee. You’ll also pay to record your mortgage with the county Register of Deeds, which in Wisconsin is a modest flat fee per document.
Prepaid items and escrow
Lenders usually collect several months of property taxes and homeowners insurance up front to fund your escrow account, plus prepaid interest from closing to the end of the month. Insurance shopping can make a real difference here, and our partner list includes local agents.
Prorated property taxes
Wisconsin property taxes are paid in arrears, so the seller usually credits the buyer for taxes owed for the part of the year they owned the home. Learn more in Wisconsin property taxes for homeowners.
Ways to reduce what you bring to closing
- Ask for a seller concession toward closing costs when the market allows.
- Look into down payment assistance, including WHEDA programs.
- Choose your closing date strategically to reduce prepaid interest.
Your lender’s Closing Disclosure, delivered at least three business days before closing, shows the final numbers. Compare it with your Loan Estimate and ask about anything that changed. For the whole process, see our step-by-step buying guide.