Closing Costs in Vermont
The average closing cost in Vermont is $18,662, which is 4.59% of the home price. Vermont's transfer tax rate is 1.25% (buyer, if not primary).
Avg Closing Costs
$18,662
As % of Price
4.59%
Transfer Tax
1.25%
Attorney Required
Yes
Closing Cost Breakdown for a $406,730 Home
| Item | Estimated Cost |
|---|---|
| Loan Origination Fee (1%) | $3,254 |
| Appraisal Fee | $500 |
| Credit Report | $50 |
| Title Search & Insurance | $2,034 |
| Transfer Tax | $5,084 |
| Recording Fees | $150 |
| Home Inspection | $400 |
| Survey | $350 |
| Attorney Fee (required) | $1,200 |
| Prepaid Property Tax (2 months) | $963 |
| Prepaid Homeowners Insurance (1 year) | $1,220 |
| Prepaid Interest (15 days) | $869 |
| Estimated Total | $16,074 |
* Estimates based on average Vermont home price of $406,730 with 20% down payment. Actual costs may vary. Transfer tax, attorney fees, and prepaid items are state-specific.
How to Reduce Closing Costs in Vermont
Negotiate Seller Concessions
Ask the seller to cover part of your closing costs. In Vermont, sellers can typically contribute up to 3-6% of the sale price toward buyer closing costs.
Shop Multiple Lenders
Origination fees and lender charges vary significantly. Get Loan Estimates from at least 3 lenders and compare the “Loan Costs” section.
Use First-Time Buyer Programs
Vermont offers programs like VHFA ASSIST Second Mortgage that can help with closing costs.
Close at End of Month
Closing near the end of the month reduces the prepaid interest charges, which can save you hundreds of dollars.
Legal Context for Vermont Closings
Conveyance Document
Warranty, quitclaim and fiduciary deeds (with licence to sell)
Security Instrument
Mortgage deed
Foreclosure Process
Judicial
Attorney Required
Yes
Vermont uses warranty, quitclaim and fiduciary deeds (with licence to sell) for property transfers and mortgage deed as the security instrument. An attorney is required at closing, which adds to your closing costs.
