Skip to Main Content
Alvy+, a new digital banking experience is here! Download today!

Town and Country Bank

Main Navigation

  • Careers
  • Contact
  • Search
  • Pay Loan
    • Make a Mortgage Payment
    • Make a Loan Payment
  • Login
    • Online Banking
    • Home Loan
    • Make a Mortgage Payment
    • Trust & Investment Services
    • Make a Loan Payment
    • Credit Card
  • Menu
  • Home
  • Personal Banking
    • Personal Checking Accounts
    • Personal Savings Accounts
    • Loans
      • Auto Loans
      • Personal Loans
      • Home Equity
      • Land & Lot Loans
      • Bridge Loans
    • Make a Loan Payment
    • Personal Debit and Credit Cards
  • Business Banking
    • Business Lending
    • Business Accounts
    • Treasury Management
    • Business Debit and Credit Cards
    • Alternative Financing Options
    • Meet Our Business Bankers
    • Request a Business Financial Review
  • Home Loans
    • Find the Perfect Home Loan
    • Meet our Mortgage Lenders
    • Mortgage Calculators and Rates
    • Mortgage FAQs
    • Community Mortgage Partners
      • About Us
      • Our Services
      • Our Loan Products
      • Contact
  • Trust & Investments
    • Personal Financial Planning Services
    • Business Financial Planning Services
    • Meet our Trust & Investments Team
  • Customer Support
    • Online & Mobile Banking Services
    • Account Resources
      • Overdraft Protection
      • Reorder Checks
      • Financial Calculators
      • Switch to Us
      • Online Forms
      • Online Security
      • FAQs
    • Additional Services
  • Sprig The Word Blog
  • Our Team
  • About Us
    • Community Support Request
    • About Our Bank
    • Investor Relations
    • Diversity, Equity, and Inclusion
    • Locations & Hours
    • Careers
      • Careers in Mortgage Lending
      • Commercial Banking Development Program
    • Events Calendar
    • News
      • 2022 Financial Reports
      • 2021 Financial Reports
      • 2020 Financial Reports
    • Contact Us
    • Connect With Us

  • Sprig The Word Blog

How Much Are Closing Costs?

10/15/2020

SHARE

When you buy a home, you have more expenses than the home’s down payment. These are closing costs, fees that pay for services required to purchase a place to live and to mortgage the house payments. Even if you’re paying cash for the home, you’ll still have some closing costs.

Costs vary by location because the taxes and services required differ by state and city. In Central Illinois, these costs typically range from 2% to 3% of the price of your home. On average, they are between $1,850 and $2,400 here, according to Pat Quigley, SVP, Mortgage Lender with Town and Country Banc Mortgage Services. However, closing costs are higher in other areas, up to 5% or 7% of the home price.

Who Pays Them?

While the seller pays a portion of closing costs, the buyer pays the bulk. And the buyer has to pay them before they can get keys to their new digs.

What Are the Typical Costs?

  • An appraisal of the home you’re purchasing to make sure it’s worth the price
  • A credit report to make sure you’re a good risk for a mortgage
  • A title check on the property to make sure no one else owns all or part of it
  • Recording the deed and mortgage documents with the county
  • Verification of your employment
  • A termite inspection of the property
  • An inspection of the property’s water and septic systems
  • A premium to cover the first year of home insurance
  • A fee to underwrite the mortgage

Can I Decrease Them?

Sometimes, you can negotiate with the seller to pay for more closing costs.

On the other hand, you can also increase the mortgage’s interest rate to cover them, Quigley says. “For example, a person may get a rate of 3% and pay $1,850 in closing fees or their bank may offer a 3.3% rate with no closing costs. If you plan to pay off your mortgage in a short amount of time, getting the higher rate with no closing fees may work, but if you plan on taking many years to pay it off, you will likely pay more in interest if you take the higher rate.”

Other options, according to this article on realtor.com, include taking advantage of any discounts you can get if you’re in the military or a union.

For more information on closing costs or general mortgage related questions, reach out to one of our experienced Mortgage Lenders or contact our Customer Service Solution Center at (866) 770-3100 today!

More Posts

Open an accountOpen account
Find a locationlocations

  • Facebook Logo
  • Twitter Logo
  • LinkedIn Logo
  • Contact Us
  • Locations & Hours
  • Financial Calculators
  • Careers
  • Financial Privacy Disclosure
  • Electronic Documents (Paperless) Disclosure
  • Other Disclosures
  • Financial Privacy Opt Out Form
  • Community Support Request
  • Routing Number: 071123262
  • NMLS# 411614
    Town and Country Bank
  • NMLS# 423128
    Town and Country Banc Mortgage Services, Inc.
  • Go to FDIC website
  • Go to Equal Housing Lender website
  • Go to AARP BankSafe Trained institution website

Copyright © 2022 Town and Country Bank All Rights Reserved. An Illinois State chartered banking organization. | Please note that Investments are not a deposit, not FDIC Insured, not insured by any federal government agency, not guaranteed by the bank and may go down in value.

Privacy Policy

Town and Country Bank is regulated by the Federal Reserve Bank of Chicago. For accolades or complaints, please contact us by sending a letter to: Customer Relations Office, 3601 Wabash Ave., Springfield, Illinois 62711. If there is no sensitive customer information, such as social security or account numbers, you can send feedback to the following email address: customerrelations@townandcountrybank.com

You Are Now Leaving

You are now leaving the Town and Country Bank/Peoples Prosperity Bank website. You are about to access a third party web site or service that is not owned or controlled by Town and Country Bank/Peoples Prosperity Bank and therefore, may not be FDIC insured.

While we believe these resources are reliable, Town and Country Bank/Peoples Prosperity Bank is not responsible for and will not guarantee the products, services, information, or content provided by this third party.

Continue Cancel ×