Closing Costs
How Much Are Closing Costs for Buyers in Austin, TX?
Updated November 10, 2026
Reviewed by:
Head of Growth at TurboHome
Agent, Texas · Texas Realtor® License #674075
Buyers in Austin should budget $2,350 to $5,650 in closing costs on a median-priced $555,000 home (0.42% to 1.02% of the price), before prepaids and discount points. Add roughly $6,484 to $8,884 for prepaid interest, a property tax reserve and a year of insurance, so cash to close with 20% down is about $119,834 to $125,534. Texas has no transfer tax and the seller customarily pays the owner's title policy ($3,028 at the Austin median), so the one-time costs are flat at any price. On top of that baseline, HOA transfer and resale certificate fees ($100 to $400) and working capital deposits add to the bill in master-planned communities such as Easton Park, Circle C and Steiner Ranch. The estimates are modeled on 2,994 closings in our MLS feed from May 1 to October 31, 2026.
TurboHome Market Analysis · Austin, TX · Closings May to Oct 2026 · Updated November 10, 2026
Below: each line item, costs by purchase price and neighborhood, who pays what by local custom, prepaids and cash to close, how buyers paid, and how to lower the bill.
What Austin buyers pay at closing
| Line item | Low estimate | High estimate |
|---|---|---|
| Lender fees (origination, underwriting, processing) | $1,200 | $3,000 |
| Appraisal and credit report | $550 | $850 |
| Lender's title policy (simultaneous issue) | $100 | $100 |
| Escrow or settlement fee | $350 | $700 |
| Survey (seller's survey with a T-47, or new) | $0 | $700 |
| Recording fees | $150 | $300 |
| Total closing costs, before prepaids and points | $2,350 | $5,650 |
These are estimates for a financed purchase with 20% down and a conventional loan at the median price, not a quote. The Loan Estimate your lender sends within three business days of your application, and the escrow or title company's estimate, are the figures to plan around.
Closing costs by purchase price in Austin
| Purchase price | Closing costs | Share of price | Prepaids | Cash to close, 20% down |
|---|---|---|---|---|
| $300,000 | $2,350 to $5,650 | 0.78% to 1.88% | $4,654 to $7,054 | $67,004 to $72,704 |
| $400,000 | $2,350 to $5,650 | 0.59% to 1.41% | $5,372 to $7,772 | $87,722 to $93,422 |
| $500,000 | $2,350 to $5,650 | 0.47% to 1.13% | $6,089 to $8,489 | $108,439 to $114,139 |
| $750,000 | $2,350 to $5,650 | 0.31% to 0.75% | $7,885 to $10,285 | $160,235 to $165,935 |
| $1,000,000 | $2,350 to $5,650 | 0.23% to 0.56% | $9,680 to $12,080 | $212,030 to $217,730 |
Half of Austin closings fell between $377,492 and $869,875. At $377,492, closing costs run $2,350 to $5,650; at $869,875, $2,350 to $5,650. Flat charges such as lender fees and the appraisal cost the same at any price, so closing costs shrink as a share of the price as the price rises.
Share of Austin closings by price, May to October 2026: under $300,000, 11.8%, $300,000 to $500,000, 31.9%, $500,000 to $750,000, 23.7%, $750,000 to $1 million, 13.1%, $1 million to $1.5 million, 10.5% and $1.5 million and up, 9.0%. The largest group was $300,000 to $500,000.
In Texas the one-time closing costs are the same $2,350 to $5,650 at every price in the table. The prepaids and the down payment are what rise with price, so they set most of the difference in cash to close.
Cash to close by neighborhood
| Neighborhood | Closings | Median price | 3-month tax reserve | 20% down | Cash to close |
|---|---|---|---|---|---|
| Easton Park | 99 | $547,000 | $2,803 | $109,400 | $118,177 to $123,877 |
| Downtown | 79 | $653,000 | $3,347 | $130,600 | $140,139 to $145,839 |
| Southwest Austin | 73 | $430,000 | $2,204 | $86,000 | $93,938 to $99,638 |
| Circle C | 68 | $789,166 | $4,044 | $157,833 | $168,349 to $174,049 |
| Steiner Ranch | 63 | $999,000 | $5,120 | $199,800 | $211,823 to $217,523 |
| West Campus | 43 | $288,800 | $1,480 | $57,760 | $64,683 to $70,383 |
| Northwest Hills | 41 | $1,007,000 | $5,161 | $201,400 | $213,480 to $219,180 |
| West Oak Hill | 38 | $540,000 | $2,768 | $108,000 | $116,728 to $122,428 |
West Campus condos ($288,800 median) put the one-time costs at 0.8% to 2.0% of the price, while in Steiner Ranch ($999,000) and Northwest Hills ($1,007,000) they are about 0.2% to 0.6%. The tax reserve and down payment are what separate them: cash to close runs $64,683 to $70,383 in West Campus against $211,823 to $217,523 in Steiner Ranch.
One-time closing costs are the same $2,350 to $5,650 in every neighborhood. Cash to close applies the same model at each neighborhood's median price, so it moves with price, not with anything specific to the neighborhood.
Who pays what in Travis County
| Cost | Customarily paid by | Notes |
|---|---|---|
| Owner's title policy | Seller | Premium set by the state: $3,028 at the $555,000 median price |
| Lender's title policy | Buyer | $100 when issued together with the owner's policy (simultaneous issue) |
| Escrow or settlement fee | Split or buyer | Negotiable in the contract |
| Survey | Seller's survey reused, otherwise buyer | The seller's existing survey can often be reused with a T-47 affidavit |
| Transfer tax | None | Texas has no real estate transfer tax |
| Recording fees | Buyer | For the deed of trust that secures your loan |
| HOA resale certificate and transfer fees | Negotiable | $100 to $400 where there is an HOA |
Texas has no real estate transfer tax, so neither side pays one on a Austin sale. By Texas custom the seller also pays the owner's title policy, whose premium the Texas Department of Insurance sets: $3,028 at the $555,000 median under the rates effective March 1, 2026. The buyer's lender's policy costs $100 when it is issued alongside it, so the buyer's title bill is the same at any price.
Bankrate, using LodeStar's 2025 data, puts average Texas closing costs for title, settlement, recording and taxes (no lender fees, points or prepaids) at $3,754, or 0.93% of the average price, against $4,528 nationally. Texas guides that add lender fees and prepaids put the full bill at 2% to 5% of the price.
These are local customs, not law. Buyer and seller can agree to a different split in the purchase contract, and a seller whose home has sat is often willing to cover more.
Sources:
- Neuhaus Realty Group, Buyer Closing Costs in Texas: The Complete 2026 Guide, published February 27, 2026
- Harbert Group, Texas Home Buyer Closing Costs 2026, checked November 10, 2026
- Texas Department of Insurance, title insurance FAQ, checked November 10, 2026
- Texas Department of Insurance, 2026 title insurance basic premium rates, rates effective March 1, 2026, checked November 10, 2026
- Bankrate, mortgage closing costs (LodeStar 2025 data), published November 2, 2026
Prepaids, earnest money and your cash to close
Prepaids are not fees. They fund your first costs of owning the home, and on a $555,000 home in Austin they come to $6,484 to $8,884:
- Prepaid interest: $1,140. 15 days of interest on an 80% loan at an assumed 6.25% rate. Your figure depends on your rate and how many days are left in the month when you close.
- Property tax reserve: $2,844. Three months of property tax at the 2.05% effective rate from our Austin property tax guide. Lenders usually collect two to three months for the escrow account; we assume three.
- Homeowners insurance: $2,500 to $4,900. The first 12 months, paid at closing (Neuhaus Realty Group, Buyer Closing Costs in Texas: The Complete 2026 Guide, published February 27, 2026, citing the Texas Department of Insurance homeowners insurance market overview).
| Item | At the median price |
|---|---|
| Down payment, 20% | $111,000 |
| Closing costs | $2,350 to $5,650 |
| Prepaids and reserves | $6,484 to $8,884 |
| Cash to close | $119,834 to $125,534 |
Earnest money is not an extra cost. TurboHome's Texas buyers put down a median deposit of 1.0% of the price in the 12 months to October 31, 2026 (17 closings with a recorded deposit), and the deposit is credited toward your cash to close.
With 10% down, the down payment on the median home is $55,500; with 5% down, $27,750. A smaller down payment usually adds mortgage insurance and changes the loan costs, so we show cash to close only for 20% down.
How Austin buyers paid
99.3% of Austin closings from May to October 2026 recorded how the buyer paid (2,973 closings). 25.3% paid cash, 61.8% used a conventional loan, 5.7% used an FHA loan and 3.7% used a VA loan. The loan type changes the closing bill:
- Cash buyers skip the lender fees, the lender's title policy and prepaid interest, so they pay well under the estimates above.
- FHA buyers add an upfront mortgage insurance premium of 1.75% of the base loan amount (HUD, Mortgagee Letter 2023-05 (FHA upfront mortgage insurance premium), dated February 22, 2023, checked November 10, 2026), which can be added to the loan.
- VA buyers pay a funding fee of 2.15% of the loan on first use with less than 5% down, unless exempt, for example with a service-connected disability rating. It can be added to the loan (VA.gov, VA funding fee and closing costs, checked October 5, 2026 and November 10, 2026).
A quarter of Austin closings (25.3%) were cash, so those buyers skipped the lender fees, the lender's title policy and prepaid interest. FHA loans (5.7%) were less common than in Dallas (11.8%) or Fort Worth (28.3%), so fewer Austin buyers paid the 1.75% upfront premium.
How to lower your closing costs in Austin
- Ask for a seller credit. A credit written into your offer pays part of your closing costs at closing. Sellers agree more often when a home has sat; see days on market in Austin for how long homes are taking to sell. Your loan program caps how large a credit can be, so check with your lender first.
- Compare lender credits. A lender can pay some of your costs in exchange for a slightly higher rate. Ask two or three lenders for a Loan Estimate on the same day and compare the rate and the credit together.
- Shop title and escrow where you can. The Texas Department of Insurance sets title insurance premiums, so the policies cost the same at every title company; the escrow or settlement fee is the part worth comparing. Also ask the seller early for their existing survey: if your lender and title company accept it with a T-47 affidavit, the survey line drops to $0.
- Put a commission refund toward the bill. TurboHome is a flat-fee buyer's brokerage that refunds the rest of the buyer-side commission at closing, and 62% of TurboHome buyers who stated a preference chose to take it as a credit at closing (108 of 173, closings in the 12 months to October 31, 2026). On TurboHome's Texas closings over the same 12 months, the median refund was $5,697 (companies that refund the buyer's agent commission).
Methodology
We modeled buyer closing costs for Austin from 2,994 closings in our MLS feed from May 1 to October 31, 2026, excluding sales under $50,000 and land and lot sales. The median sale price was $555,000, with a 25th percentile of $377,492 and a 75th percentile of $869,875. Each estimate is a range for a financed purchase with 20% down and a conventional loan, buyer side only, at the stated price.
Texas model ranges: lender fees $1,200 to $3,000; appraisal and credit report $550 to $850; lender's title policy $100 (simultaneous issue with the seller's owner's policy); escrow or settlement fee $350 to $700; survey $0 to $700; recording $150 to $300. Texas has no transfer tax, and sellers customarily pay the owner's title policy.
Prepaids assume 15 days of interest at an assumed 6.25% rate on an 80% loan, a three-month property tax reserve at the 2.05% effective rate, and 12 months of homeowners insurance at $2,500 to $4,900 (Neuhaus Realty Group, Buyer Closing Costs in Texas: The Complete 2026 Guide, published February 27, 2026, citing the Texas Department of Insurance homeowners insurance market overview).
Estimates leave out discount points, inspections, HOA transfer or capital contribution fees, MUD taxes and property tax prorations between buyer and seller. Customs vary by contract and are negotiable.
Texas line items: the survey runs from $0, when the seller's survey is reused with a T-47 affidavit, to $700 for a new one, and the lender's title policy is the $100 simultaneous-issue rate. The owner's title policy is seller-paid by custom and not included. Estimates also leave out public improvement district (PID) assessments.
Our 2025 feed for Austin is too thin for a reliable year-over-year comparison. Our Austin figures cover the whole city, which also reaches into Williamson and Hays counties.
Austin has no comparable prior-year window in our feed, so this page has no year-over-year section.
TurboHome figures (earnest money, the share of buyers who took their refund as a credit at closing, median refunds) come from TurboHome's own closings in the 12 months to October 31, 2026.
Public sources:
- Neuhaus Realty Group, Buyer Closing Costs in Texas: The Complete 2026 Guide, published February 27, 2026
- Harbert Group, Texas Home Buyer Closing Costs 2026, checked November 10, 2026
- Texas Department of Insurance, title insurance FAQ, checked November 10, 2026
- Texas Department of Insurance, 2026 title insurance basic premium rates, rates effective March 1, 2026, checked November 10, 2026
- Bankrate, mortgage closing costs (LodeStar 2025 data), published November 2, 2026
- HUD, Mortgagee Letter 2023-05 (FHA upfront mortgage insurance premium), dated February 22, 2023, checked November 10, 2026
- VA.gov, VA funding fee and closing costs, checked October 5, 2026 and November 10, 2026
FAQ
Can the seller pay my closing costs in Austin?
Yes, if the seller agrees. You ask for a seller credit in your offer and it is applied to your closing costs at closing. Sellers are more open to credits on homes that have sat on the market (days on market in Austin), and your loan program caps how large a credit can be, so check the limit with your lender before you ask.
What is the transfer tax in Austin and who pays it?
None. Texas has no real estate transfer tax, so neither the buyer nor the seller pays one on a Austin sale (Neuhaus Realty Group, Buyer Closing Costs in Texas: The Complete 2026 Guide, published February 27, 2026). The only government charge at closing is the county recording fee for your deed of trust, which the buyer customarily pays: $150 to $300 in our estimate.
How much earnest money do I need in Austin?
TurboHome's Texas buyers put down a median earnest money deposit of 1.0% of the price in the 12 months to October 31, 2026 (17 closings with a recorded deposit). The deposit is due soon after your offer is accepted and is credited toward your cash to close, so it is not an extra cost.
Is a buyer's agent rebate worth it in Austin?
For most buyers, yes. Closing costs on the median-priced $555,000 home in Austin run $2,350 to $5,650, and a refund of the buyer-side commission can be credited toward them at closing. TurboHome is a flat-fee buyer's brokerage that refunds the rest of the buyer-side commission at closing; on its Texas closings in the 12 months to October 31, 2026, the median refund was $5,697. Compare the companies that refund the buyer's agent commission in Texas.
Can I roll closing costs into my mortgage?
Not on a conventional purchase loan: you pay closing costs and prepaids in cash at closing, or cover them with a seller credit, a lender credit or a commission refund. Government loans have narrow exceptions. FHA's 1.75% upfront mortgage insurance premium and the VA funding fee can be added to the loan amount, but VA says all other fees on a purchase loan must be paid at closing (VA.gov, VA funding fee and closing costs, checked October 5, 2026 and November 10, 2026).
Related guides
- Buyer closing costs by city
- Property taxes in Austin
- Days on market in Austin
- How much over asking to offer in Austin
- Down payment in Austin
- Companies that refund the buyer's agent commission in Texas
- How TurboHome's flat fee works
- Greater Austin home buying guides
- Texas home buying guides
About the Author
Vinura Abeysundara
Vinura Abeysundara is a real estate and growth professional with experience scaling homebuying platforms across Canada and the United States. Formerly Head of Growth at Zown, he now works with TurboHome and writes about homebuyer savings, flat-fee real estate, commissions, and technology in real estate.
View Vinura on LinkedInAbout Jake Shuler
Agent, Texas
Jake Shuler is a Texas REALTOR® with more than 10 years of real estate experience and over 200 successful transactions. As an agent at TurboHome, he helps buyers navigate the Texas housing market and writes about homebuying, negotiations, local market trends, and ways buyers can save throughout the process.
View Jake's profile