Massachusetts Closing Costs Guide 2026
This Massachusetts closing costs guide covers what buyers and sellers pay at closing in Massachusetts — deeds excise tax, title insurance, attorney fees, prepaid items, and tips for reducing your total cash to close.
Buyer Closing Costs in Massachusetts
Massachusetts buyers typically pay 2-4% of the purchase price in closing costs, driven mainly by attorney fees, title insurance, and prepaid items, since the deeds excise tax is customarily paid by the seller rather than the buyer.
| Fee | Typical Amount | On a $749,450 Sale |
|---|---|---|
| Loan origination fee | 0-1% of loan amount | $0-$7,495 |
| Owner’s title insurance | Based on purchase price | ~$1,200-$2,200 |
| Lender’s title insurance | Based on loan amount | ~$900-$1,600 |
| Attorney/settlement fee | Required statewide | ~$800-$1,500 |
| Appraisal | Paid upfront or at closing | ~$500-$700 |
| Home inspection | Paid before closing | ~$400-$650 |
| Homeowner’s insurance (prepaid) | First year premium | ~$1,000-$1,700 |
| Recording fee | County-set | ~$100-$250 |
These are estimates only. Confirm exact figures with your lender and closing attorney.
Seller Closing Costs in Massachusetts
Massachusetts sellers typically pay 5-7% of the sale price in closing costs, dominated by real estate agent commissions and the deeds excise tax, which is customarily the seller’s responsibility statewide.
| Fee | Typical Amount | On a $749,450 Sale |
|---|---|---|
| Real estate agent commissions | Varies (typically 2-5% total per new NAR rules) | ~$15,000-$37,500 |
| Deeds excise tax | $4.56 per $1,000 of sale price | ~$3,420 |
| Attorney/settlement fee | Often shared or separate from buyer’s attorney | ~$500-$1,200 |
Massachusetts Deeds Excise Tax
Massachusetts charges a deeds excise tax of $4.56 per $1,000 of the sale price ($2.28 per $500), applied uniformly statewide with no county-level add-on. This tax is customarily paid by the seller, though the split can be negotiated as part of the purchase and sale agreement.
Confirm the current statewide rate at the Massachusetts Department of Revenue.
Title Insurance in Massachusetts
| Policy Type | Who Pays (Customary, Negotiable) | Purpose |
|---|---|---|
| Owner’s title insurance | Typically buyer — negotiable | Protects buyer from title defects, liens, and encumbrances |
| Lender’s title insurance | Buyer | Protects the lender’s interest in the property |
Because Massachusetts has a large volume of older housing stock, particularly in Boston, Worcester, and Springfield, title searches sometimes uncover older liens or boundary issues, making title insurance an especially important protection for buyers.
Closing Process in Massachusetts
Massachusetts is an attorney-closing state — a licensed Massachusetts attorney customarily conducts or supervises the closing on behalf of the buyer, the lender, or both. This differs from escrow-only states and typically adds a modest attorney fee, but provides an extra layer of legal review of the title and closing documents.
How to Reduce Your Massachusetts Closing Costs
- Negotiate seller concessions: Ask the seller to pay some or all buyer closing costs — up to 3% (conventional), 6% (FHA), unlimited (VA)
- Use MassHousing assistance: Down Payment Assistance can help cover down payment and, in some cases, a portion of closing costs
- Negotiate the excise tax split: While customarily paid by the seller, the deeds excise tax allocation is negotiable in every Massachusetts transaction
- Compare lenders: Loan origination fees vary significantly; getting multiple Loan Estimates from different lenders is one of the most effective ways to reduce costs. This is where working with an experienced Brokered Mortgage Advisor can help you save time and money throughout your transaction, by shopping rates and costs with several different lenders before your loan package is submitted.
- Ask about veteran credits: Veterans and active-duty buyers using a MassHousing Mortgage may qualify for a $2,500 closing cost credit
