Closing Cost Calculator

Formula

To calculate the Closing Cost ($CC$):

\[ CC = \frac{PP \cdot CCF}{100} \]

Where:

$CC$ is the Closing Cost ($)
$PP$ is the total purchase price ($)
$CCF$ is the closing cost fee percentage (%)

What is Closing Cost?

Closing cost refers to the expenses incurred during the finalization of a real estate transaction. These costs typically include fees for loan origination, appraisal, title insurance, and other related services. The formula to calculate closing cost is $CC = \frac{PP \cdot CCF}{100}$, where $PP$ is the total purchase price and $CCF$ is the closing cost fee percentage.

Example Calculation 1

Let's assume the following values:

Total Purchase Price ($PP$) = $300,000
Closing Cost Fee Percentage ($CCF$) = 3%

Using the formula:

\[ CC = \frac{300000 \cdot 3}{100} = 9000 \]

The Closing Cost is $9,000.

Example Calculation 2

Let's assume the following values:

Total Purchase Price ($PP$) = $500,000
Closing Cost Fee Percentage ($CCF$) = 2.5%

Using the formula:

\[ CC = \frac{500000 \cdot 2.5}{100} = 12500 \]

The Closing Cost is $12,500.