Buying or selling a home in St. Louis City comes with one big question: what will you actually pay at the closing table? You plan your down payment or target sale price, but closing costs can still surprise you if you do not prepare. The good news is you can estimate most fees in advance and make smart choices to keep them under control.
In this guide, you will learn what closing costs include, who typically pays what in St. Louis City, how to estimate your total, and practical ways to save. You will also see key local items to watch so you avoid last‑minute stress. Let’s dive in.
Closing costs explained
Closing costs are the non‑purchase‑price fees paid to finalize a real estate transaction. They usually include:
- Lender fees for buyers with a mortgage: origination or processing, underwriting, credit report, optional discount points, appraisal, flood determination, and any lender‑required survey or title endorsements.
- Title, escrow, and recording: title search, title insurance policies, escrow or settlement fee, document preparation where applicable, and recorder’s fees for deed and mortgage.
- Government and municipal charges: recording fees, notary charges, and any applicable transfer taxes or local assessments.
- Prepaids and prorations: portions of property taxes, the first‑year homeowners insurance premium if required by your lender, prepaid mortgage interest, and prorated HOA or condo dues.
- Inspections, surveys, and repairs: general home inspection, pest inspection, septic or well inspection where relevant, and any agreed repairs or credits.
- Seller‑side items: real estate broker commissions, payoff of existing mortgages and liens, owner’s title policy where customary, prorated taxes and dues, and deed or recording fees related to conveying title.
Who pays what in St. Louis City
Customs can vary by neighborhood and transaction, but these guidelines will help you plan.
Buyer typically pays:
- Lender fees, appraisal, and all loan‑related charges.
- Lender’s title insurance policy and related endorsements.
- Inspection and survey costs when required.
- Homeowners insurance premium, prepaid interest, and tax reserves as needed.
- Recording of the mortgage.
Seller typically pays:
- Real estate broker commissions, which are often the largest seller cost.
- Payoff of mortgages and any liens.
- Prorated property taxes and HOA dues.
- Owner’s title insurance policy where customary, plus deed preparation and recording fees tied to conveying title.
Negotiable items:
- Who pays the owner’s title policy and how the escrow or settlement fee is split.
- Seller concessions to cover some buyer closing costs.
- Repair credits after inspections.
- Who pays any transfer tax if one applies.
Always confirm final responsibilities with your purchase agreement and the title company or closing attorney handling the file.
How much to budget
A practical rule of thumb is to plan using percentages of the purchase or sale price. These are estimates, not exact quotes.
- Buyer closing costs: about 2% to 5% of the purchase price, not including your down payment.
- Seller closing costs: about 6% to 10% of the sale price, largely due to broker commissions.
Sample estimates
$200,000 purchase:
- Buyer: about $4,000 to $10,000.
- Seller: about $12,000 to $20,000.
$350,000 purchase:
- Buyer: about $7,000 to $17,500.
- Seller: about $21,000 to $35,000.
Line‑item amounts vary. As a rough guide, common costs include:
- Appraisal: often $400 to $800.
- Home inspection: often $300 to $600.
- Escrow or closing fee: often $300 to $800, sometimes split.
- Survey: often $350 to $1,000 if required.
- Recording fees: often $20 to $200 depending on documents.
- Title insurance: the lender’s policy and optional owner’s policy scale with price. Exact figures come from local title quotes and rate schedules.
St. Louis City specifics to watch
A few local details can change your bottom line. Plan for the following and verify them early.
- Transfer taxes or documentary stamps: Whether a transfer tax applies depends on local rules. Confirm current practice and any rate with the St. Louis Recorder of Deeds or a local title company before you set firm expectations.
- Recorder of Deeds fees and forms: St. Louis City’s Recorder of Deeds has specific requirements and fees per recorded document. Fees are usually modest per document and add up when multiple items are recorded.
- Property tax proration: St. Louis City tax assessment and billing schedules affect how taxes are prorated at closing. Ask the City Assessor or Collector for current timing so your Closing Disclosure reflects accurate tax credits or prepaids.
- Special assessments and municipal liens: Some neighborhoods use improvement districts or have unpaid municipal liens that must be cleared. The title search will identify these and they can impact seller payoffs.
- Title insurance and rates: Missouri has a regulatory framework for title insurance. Expect local title companies to follow rate schedules and provide exact premiums upon request.
- Who closes the transaction: In Missouri, closings are often handled by title companies, escrow agents, or attorneys. The choice can affect how fees are itemized and who pays specific line items.
Prepaids, prorations, and timing
Prepaids and prorations are easy to overlook, but they play a big part in your cash to close.
- Property taxes: You will see a prorated amount based on the closing date and the city’s tax cycle. Buyers may prepay a portion into escrow. Sellers usually credit their share for the period they owned the home.
- Homeowners insurance: Many lenders require the first‑year premium paid at closing. This is separate from your monthly escrow.
- Mortgage interest: Buyers prepay daily interest from funding through the end of that month. Closing near month‑end can reduce this.
- HOA or condo dues: Dues are prorated so each party pays for the time they own the property. Any unpaid balances must be settled before closing.
Consumer protections and key deadlines
If you are using a mortgage, federal rules help you see and compare costs.
- Loan Estimate: Your lender must provide a Loan Estimate within 3 business days after you apply. Review fees and ask questions early.
- Closing Disclosure: You must receive your Closing Disclosure at least 3 business days before closing. Compare it line by line to your Loan Estimate and ask about any significant changes.
- Good‑faith and tolerance rules: Certain fees can only change within set limits between the Loan Estimate and final Closing Disclosure. Larger increases must be explained.
- Wire‑fraud safety: Real estate wire fraud is common. Always confirm wiring instructions by calling a known phone number for your title company. Do not rely on email alone. Use cashier’s checks if allowed and follow the closing agent’s instructions exactly.
Ways to reduce closing costs
You have options to control and sometimes lower your total.
- Compare lenders: Request written Loan Estimates from more than one lender. Look closely at origination fees, discount points, and rate options.
- Negotiate concessions: Ask the seller for a credit toward closing costs, within your loan program limits. You can also negotiate repair credits after inspections.
- Shop title and escrow: You can select your title or closing agent. Compare total premiums and settlement fees, not just one line.
- Consider points vs. rate: Discount points raise your closing costs but can lower your interest rate. Run the break‑even math with your lender.
- Explore assistance: St. Louis City and statewide programs may offer down payment help or grants for eligible buyers. Look into options from the Missouri Housing Development Commission and local partners. Program rules and funding levels vary and can affect how much you need at closing.
Step‑by‑step checklist
Use this timeline to stay organized.
Early in the transaction
- Buyers: request a Loan Estimate from your lender and get written estimates for title, appraisal, and inspection.
- Sellers: ask your agent for a seller net worksheet that lists expected payoffs, prorations, and any seller‑paid costs.
Two weeks before closing
- Buyers: review your Closing Disclosure and compare it to your Loan Estimate. Confirm the exact dollar amount you need to wire and the acceptable method.
- Sellers: request an updated payoff for your mortgage and any liens. Confirm any municipal assessments or HOA balances are resolved.
Day of closing
- Bring valid identification for all signers.
- Follow the title company’s instructions for wires or certified funds.
- Review documents and ask questions before signing.
After closing
- Confirm the deed and mortgage are recorded with the Recorder of Deeds.
- Save electronic and paper copies of your final package for your records.
Estimating your cash to close or net
If you are buying, multiply the price by 2% to 5% to set a reasonable closing‑cost range, then add your down payment. For example, a $300,000 purchase at 3.5% would suggest about $10,500 in closing costs, plus your down payment. Ask your lender and title company for written estimates to refine that number.
If you are selling, plan for 6% to 10% of your sale price to cover commissions and typical seller costs, then subtract your mortgage payoff and any liens. Your agent can prepare a seller net worksheet with prorated taxes and HOA dues to estimate your proceeds.
Work with a local guide
Closing costs in St. Louis City are manageable when you know what to expect. With clear estimates, early document reviews, and a plan for wire safety and prorations, you can move to closing with confidence.
If you want a precise estimate tailored to your address, price range, and loan type, our team can help you line up quotes and a clean net sheet. Connect with The Winckowski Group to get a personalized walkthrough of your costs and timing, or request a net sheet or lender introduction. Request your free home valuation.
FAQs
How much are closing costs for buyers in St. Louis City?
- Buyers typically budget 2% to 5% of the purchase price for closing costs, excluding the down payment, with exact amounts driven by loan type, title charges, recording fees, and any assessments.
How much are closing costs for sellers in St. Louis City?
- Sellers often budget 6% to 10% of the sale price, largely due to broker commissions, plus prorated taxes, potential title charges, and lien payoffs.
Who usually pays for title insurance in St. Louis?
- Local custom varies by transaction; sellers often cover the owner’s policy in many Midwestern markets, but it is negotiable and should be confirmed with the title company and your contract.
Are there transfer taxes in St. Louis City?
- Transfer tax rules depend on local practice; verify current requirements and any rate with the St. Louis Recorder of Deeds or your title company before finalizing estimates.
Can a seller pay a buyer’s closing costs?
- Yes, sellers can offer concessions to cover some buyer costs, subject to loan program limits and terms negotiated in the purchase agreement.
How can I lower my closing costs as a buyer?
- Compare lenders, negotiate seller credits, shop title and escrow services, and evaluate whether paying discount points makes sense for your timeline.
When will I get keys or net proceeds?
- You receive keys or proceeds once funds clear and the deed and mortgage are recorded, which can be the same day or within a few business days depending on the title company and recording office.
