If you’re buying a new home, you’re going to have to face the unavoidable closing costs. On top of your down payment and other expenses, these costs can significantly add more financial stress to your life. However, there are ways that you can lower these upfront closing costs.

Associated Costs

Before you go about looking to lower your closing costs, you’re going to have to understand exactly what costs you’re paying for.

The most common costs that you’re going to face are home appraisal fees, credit checks, application fees, loan origination fees, inspection fees, and federal and state taxes. The closing costs vary though. Depending on the financial institution that you decide to work with, they’re going to have dedicated mortgage-related fees. Each state also has their own set of financial rules, so be sure to check up on your current state.

Lowering Your Costs

Not all closing costs can be negotiated, but there are some ways where you can get a lower rate at which you pay. Your loan origination fee comes from the mortgage broker as a commission. To lower this fee, ask your lender if there are certain aspects that you can see waived, such as the application or processing fees.

In regards to a taking out a mortgage, you’re going to need title insurance. Most of the time, your mortgage broker will recommend their third-party vendors due to a possible partnership. You’re not obligated to sign with them if you don’t want to. Shop around if you believe it to be too high of a price.

Bio: Realty ONE Group is run by CEO Kuba Jewgieniew, the founder and CEO of the real estate brand.