M
MortgageMath
Free mortgage calculators for every state

Illinois Closing Costs Calculator

Estimate closing costs for buying a home in Illinois. Average closing costs run 2.0% of the purchase price (about $5K on the median home).

$
%
Illinois: Avg closing costs 2.0% of price. Transfer tax: 0.1%.
Estimated Closing Costs
$11,099
4.1% of purchase price
Share:TwitterFacebook
Lender Fees
$2,369
origination, underwriting
Third-Party
$2,800
appraisal, title, inspection
Government Fees
$270
transfer taxes, recording
Prepaids + Escrow
$5,660
taxes, insurance, interest
Itemized Costs
Loan Origination (0.8%)$1,944
Underwriting Fee$350
Credit Report$75
Appraisal$550
Home Inspection$450
Title Search + Insurance$1,650
Recording Fee$150
Transfer Tax$270
Prepaid Taxes (3 mo)$1,397
Prepaid Insurance (12 mo)$1,900
Prepaid Interest (15 days)$649
Escrow Reserves$1,714
Total Closing Costs$11,099

Why This Matters in Illinois

Closing costs in Illinois average $5K, which is 2% of the median home price. This includes a 0.1% transfer tax — on the median $270K home, that's $270 in transfer taxes alone.

When budgeting for a home purchase in Illinois, plan for $5K in closing costs on top of your down payment. With 10% down on the median home, your total cash needed at closing is approximately $32K. Negotiating seller concessions can offset some of these costs — in Illinois's market, it's common to ask sellers to cover 2-3% of closing costs.

Understanding Closing Costs in Illinois

In Illinois, average closing costs run about 2.0% of the purchase price. On the statewide median home of $270K, that works out to roughly $5K. These costs cover a range of fees: lender origination charges, appraisal, title search, title insurance, recording fees, and various prepaid items like homeowners insurance and property tax escrow. Understanding this total is critical for budgeting — closing costs are on top of your down payment.

Illinois imposes a real estate transfer tax of 0.1% on property sales, which adds approximately $270 on a $270K purchase. While this is a modest rate compared to some states, it still adds to the total cash needed at closing. Your settlement statement will itemize this separately from other fees. Whether the buyer or seller pays — or how the cost is split — is often negotiable and depends on local custom.

Illinois does not require an attorney at closing, which can save buyers $500 to $1,500 compared to attorney-closing states. Title companies handle most closings here. That said, hiring a real estate attorney for a few hundred dollars to review documents is still worthwhile for first-time buyers who want extra assurance that the paperwork is correct.

To reduce your out-of-pocket closing costs in Illinois, consider negotiating seller concessions (the seller pays a portion of your fees), choosing a lender that offers credits in exchange for a slightly higher rate, or using the IHDA 1stHomeIllinois program — which provides $7,500 forgivable loan. Some of these assistance programs cover closing costs in addition to down payment, so check whether Illinois's offering applies to both.

Illinois Housing at a Glance

Median Home Price
$270K
Illinois statewide
Property Tax Rate
2.07%
$466/mo on median
Avg Closing Costs
$5K
2.0% of purchase price
Homeowners Insurance
$1,900/yr
$158/mo
Illinois First-Time Buyer Program
IHDA 1stHomeIllinois
Down payment assistance: $7,500 forgivable loan

Common Questions

How much are closing costs in Illinois?+
Average closing costs in Illinois run about 2.0% of the purchase price. On the statewide median of $270K, that comes to approximately $5K. This includes lender fees, title insurance, appraisal, recording fees, and prepaid escrow items. Actual costs can range higher or lower depending on the lender, loan type, and purchase price.
Does Illinois have a real estate transfer tax?+
Yes. Illinois charges a transfer tax of 0.1% on real estate sales. On a $270K home, that adds roughly $270 to the closing costs. How this tax is split between buyer and seller varies by local custom and negotiation.
Can I reduce closing costs in Illinois?+
Several strategies can lower your out-of-pocket closing costs: negotiate seller concessions (the seller pays part of your fees), request lender credits in exchange for a slightly higher interest rate, shop title insurance and settlement providers for competitive pricing, and check whether the IHDA 1stHomeIllinois program covers closing cost assistance in addition to down payment. Comparing loan estimates from multiple lenders is the single most effective step.
← All Illinois mortgage info

More Illinois Calculators

Mortgage Calculator
Estimate monthly payments in Illinois
Affordability Calculator
Check what you can afford in Illinois
Rent vs Buy Calculator
Rent vs buy breakeven in Illinois
Amortization Schedule
See loan payoff timeline in Illinois
15 vs 30 Year Mortgage
Compare loan terms in Illinois
DTI Calculator
Check your debt-to-income in Illinois
Down Payment Savings
Plan your savings for Illinois
Home Equity Calculator
Track equity growth in Illinois
Total Cost of Homeownership
See the true cost in Illinois
The First-Time Buyer Playbook
Free weekly guide: mortgage tips, market updates, and money-saving strategies. No spam.