Wondering how much cash you’ll actually need to close on a home in Hingham? You’re not alone. Between lender fees, title work, and prepaid items, it can feel hard to pin down a number. This guide breaks down what Massachusetts buyers typically pay, the local details that matter in Hingham and Plymouth County, and real examples so you can plan with confidence. Let’s dive in.
What closing costs cover
Closing costs are the fees and prepaids you pay at settlement, separate from your down payment. Buyers nationwide often spend about 2% to 5% of the purchase price on closing costs, with actual amounts shaped by your loan type and local fees. Here are the common items you’ll see:
Lender fees
- Origination, application, and underwriting usually total 0.5% to 1% of the loan amount.
- Appraisal commonly runs $400 to $800 for single-family homes in suburban Boston.
- Credit report, flood determination, and similar services are often $100 to $200 each.
- Discount points are optional. One point equals 1% of the loan amount and can lower your interest rate.
Title and settlement
- Title search, exam, and closing/settlement services are standard.
- Lender’s title insurance is typically required if you finance the purchase. An owner’s policy is optional but provides additional protection for your equity. Premiums vary by price and insurer.
Government and recording
- Deed and mortgage recording fees are charged by the county registry of deeds. In Massachusetts, these are usually modest compared with the home price.
- A statewide documentary transfer tax is not standard in Massachusetts. Always confirm any local variations.
Prorations and prepaids
- Property tax proration aligns the bill between buyer and seller based on the closing date.
- You typically pay the first year of homeowners insurance at closing.
- Prepaid interest covers the period from your closing date to your first mortgage payment.
- Lenders often collect 1 to 3 months of property tax and insurance into an escrow account.
Other common items
- Attorney fees are common in Massachusetts and vary by complexity.
- Inspections, termite/pest inspections, and specialized reports are often paid before closing.
Massachusetts and Hingham details
Local customs and requirements will shape your final numbers. Keep these Hingham and Massachusetts specifics in mind:
County recording
- Hingham is in Plymouth County. The Plymouth County Registry of Deeds sets recording fees for deeds and mortgages. If you are buying in Boston proper, you would look to Suffolk County.
Title insurance customs
- Lender’s title insurance is typically a buyer cost when there is a mortgage. Whether the buyer or seller pays for an owner’s policy varies by local practice. Confirm with your agent or attorney for your specific deal.
Attorney involvement
- Many Massachusetts buyers hire a residential real estate attorney. This is a normal line item and can range depending on the scope of work.
Property tax timing
- Property taxes are prorated at closing. Hingham and Boston use their own rates and billing schedules. Confirm current tax rates and whether bills are final or interim so your proration is accurate.
HOA and condo fees
- For condos or communities with associations, there may be initial fees or capital contributions due at closing. Review HOA documents early.
Buyer vs. seller responsibilities
- Some costs are seller-side, such as paying off existing liens. Others can be negotiated, including seller credits toward your closing costs, subject to lender limits.
How much to budget
A practical rule of thumb is to plan for about 3% of the purchase price for closing costs, which sits near the midpoint of the 2% to 5% range. Your final figure will depend on your loan, title premiums, prepaid taxes and insurance, attorney work, and whether you purchase discount points.
If you put 20% down, you typically avoid private mortgage insurance. Smaller down payments reduce upfront cash but can raise monthly costs and may increase lender-related charges.
Sample cash to close
The examples below assume 20% down and 3% closing costs. They include common prepaids like homeowners insurance, one month of prepaid interest, and initial escrow deposits.
Example: $500,000 purchase
- Down payment (20%): $100,000
- Closing costs (3%): $15,000
- Estimated cash to close: about $115,000
If you put 5% down instead, your down payment is $25,000. Your closing costs may still be near $15,000, so cash to close would be around $40,000. Monthly costs and mortgage insurance would likely be higher.
Example: $800,000 purchase
- Down payment (20%): $160,000
- Closing costs (3%): $24,000
- Estimated cash to close: about $184,000
Example: $1,500,000 purchase
- Down payment (20%): $300,000
- Closing costs (3%): $45,000
- Estimated cash to close: about $345,000
Sensitivity check
Shifting the closing-cost assumption to 2.5% or 4% can move your cash needs by thousands of dollars. On an $800,000 purchase, 2.5% is $20,000 while 4% is $32,000. Buying discount points, higher title premiums, or attorney complexity can also change the total.
Get exact numbers
You can quickly turn estimates into a precise plan with a few steps:
Request Loan Estimates
- Ask at least 2 to 3 lenders for a Loan Estimate. It itemizes lender fees, prepaids, and projected closing costs so you can compare.
Confirm local customs
- Ask your agent whether sellers in Hingham typically cover an owner’s title policy or if buyers do. This can shift your total.
Check recording and taxes
- Contact the Plymouth County Registry of Deeds for current recording fees. For tax prorations, confirm Hingham’s current rate and billing schedule with the town.
Review HOA items early
- Request HOA documents to identify any move-in fees, capital contributions, or assessments that may be due at closing.
Align on attorney scope
- Decide whether your attorney will also handle title and closing services or if a separate title company will be engaged.
Trim your costs
Small decisions can add up to meaningful savings at closing:
Shop lenders
- Origination charges and points vary. Ask lenders to quote the same rate-day and lock terms so you are comparing apples to apples.
Consider lender or seller credits
- You can ask for a lender credit or negotiate seller concessions toward your closing costs, within lender limits.
Be selective with points
- Discount points only pay off if you keep the loan long enough. Run a breakeven analysis before you commit.
Time your closing date
- A closing later in the month can reduce prepaid interest. Balance this with your move timeline and any rate-lock deadlines.
Cash-to-close checklist
Use this quick list as you near the finish line:
- Verified down payment funds in an acceptable account
- Estimated closing funds per your latest Loan Estimate
- Cashier’s check or wire details verified in writing
- Proof of homeowners insurance binder
- Government-issued ID for all signers
- HOA documents reviewed and any upfront fees ready
- Final walk-through confirmed and utilities planned
Ready to plan your closing?
Closing costs do not have to be a guessing game. When you know the typical 2% to 5% range, confirm local Hingham details, and compare Loan Estimates, you can approach the closing table with confidence. If you want help pressure-testing your numbers or negotiating credits that fit your situation, connect with a local advisor who knows South Shore norms and timelines.
If you would like a tailored estimate and support at each step, reach out to Lindsay Conlon for local, one-on-one guidance.
FAQs
What do Hingham buyers usually pay at closing?
- Buyers often pay about 2% to 5% of the purchase price in closing costs, separate from the down payment. A 3% estimate is a practical starting point.
Who pays for owner’s title insurance in Massachusetts?
- Lender’s title insurance is typically a buyer cost when there is a mortgage. Whether the buyer or seller pays for an owner’s policy varies by local custom, so confirm with your agent or attorney.
Are there Massachusetts transfer taxes for buyers?
- A statewide documentary transfer tax is not standard for buyers in Massachusetts. You will still see county recording fees for the deed and mortgage, which are generally modest.
How are Hingham property taxes handled at closing?
- Taxes are prorated based on your closing date. The seller and buyer settle the bill so each pays their portion of the tax period. Confirm rates and billing timing with the town.
Can I ask the seller to help with my closing costs?
- Yes. You can negotiate seller credits toward your closing costs, within lender limits. The tradeoff can be reflected in price or other terms depending on market conditions.
