John and Beth dreamed of homeownership but feared high closing costs. Determined, they researched lenders, negotiated fees, compared lawyers, and worked with a REALTOR®. Their efforts paid off—cutting costs from 3% to 1.5%! With smart choices and persistence, they walked into their new home with savings and pride.
Buying a home is a significant investment, and the expenses go beyond just the purchase price. Closing costs can add up quickly, but there are several ways to minimize them. Here are ten tips to help you save:
- Compare Lenders – Start with your bank but you do not have to stay with your bank. Don’t just focus on interest rates only; compare the fees lenders charge for services like surveys, title searches, and title insurance. If another vendor offers a better price, ask if you can switch.
- Use a Mortgage Broker – Brokers have access to multiple lenders and can sometimes find lower rates and reduced fees than if you approached a bank directly.
- Get Multiple Quotes for Legal Services – Real estate lawyer fees vary, so get quotes from different professionals to find the best balance of cost and service.
- Compare Home Insurance Quotes – Home insurance is required by lenders, but premiums can differ significantly. Shop around to find the best deal.
- Negotiate with the Seller – If the home has been on the market for a while, the seller may be willing to cover some closing costs like repair works. Always ask—it could save you thousands.
- Take Advantage of First-Time Home Buyer Incentives – Programs at the federal or provincial level may help reduce costs, such as tax credits, rebates, or down payment assistance. Investigate home energy savings rebates.
- Close at the End of the Month – Doing so reduces the prepaid interest you’ll owe before your first mortgage payment, lowering upfront costs.
- Ask About Lender Incentives – Some lenders offer perks like cash-back deals or waived fees for choosing their services.
- Consider a No-Closing-Cost Mortgage – Some lenders allow you to roll closing costs into your mortgage, reducing the upfront amount. Just be aware this may result in a slightly higher interest rate.
- Waive Unnecessary Fees – Review your closing costs carefully and question any fees that seem excessive. Some administrative fees may be negotiable or unnecessary.
Ask questions and be willing to learn. And start early too. Many buyers assume home buying is simple and get overwhelmed by the financial, legal and real estate terms soon enough. Starting early to with a REALTOR® who is willing to explain the process sets you up to make the right decision eventually.
While some closing costs are unavoidable, taking these steps can help you keep more money in your pocket as you settle into your new home.
You can also see  some of the things that harm your mortgage process.
Are you looking to buy or sell soon or later this year? DO not hesitate to contact these REALTOR® with extensive experience within the Greater Moncton market and surrounding areas.
🎯Levine, REALTOR® at Royal Lepage Atlantic
🎯Gold REALTOR® at Royal Lepage Atlantic
*The information provided here is for educational purposes only. Consult professionals before making any financial or real estate decisions.
*This is not intended to solicit Sellers or Buyers under contract