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Closing costs in Michigan

What a buyer or seller pays at the closing table in Michigan — the real transfer-tax rate, recording fees, title-insurance method and attorney rules, plus a calculator that uses Michigan's actual rates.

Estimated — not yet source-verified.Estimated — not yet source-verified. This figure is a knowledge estimate we have not yet confirmed against the official source, so this page is not indexed. Treat it as a rough guide only and verify with the state revenue department or county recorder.

Transfer tax
0.86%
customarily seller-paid
Recording fee (deed)
~$30
a flat fee per document
Title insurance
filed
~$5.00 / $1,000
Attorney at closing
Required

How closing costs work in Michigan

The biggest closing-cost variable in Michigan is the real-estate transfer tax, which here is 0.86% and is customarily seller-paid. State transfer tax $3.75 per $500 (0.75%) + county $0.55 per $500 (0.11%); seller pays.

On a $400,000 home, the state-level transfer tax works out to roughly $3,440 , before any county or city add-ons. County recording fees are a flat fee per document and run around $30 for the deed.

For title insurance, Michigan title-insurance rates are filed with the state and broadly similar between companies, though you can sometimes shop. Michigan is also an "attorney state": a licensed attorney must be involved in the closing, which adds an attorney fee that title-only states don't have. Lenders here typically charge $1,400–$3,200 in origination and processing fees, and 2 months of property-tax escrow is commonly collected at closing.

Statute: MCL § 207.523.

Michigan closing cost calculator

Pre-set to Michigan. Adjust your price, down payment and loan type.

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%

Estimated closing costs

$10,053

≈ 2.51% of the home price · excludes your down payment

Cash to close

$90,053

incl. down payment

Line-by-line breakdown

Transfer tax (buyer share) $0
Deed & mortgage recording fees $30
Owner's title insurance $2,000
Lender's title insurance $1,120
Lender fees (origination, underwriting, processing) $2,300
Appraisal $550
Credit report & flood cert $70
Home inspection $450
Closing attorney $1,000
Homeowners insurance (first year) $1,800
Property-tax escrow (~2 months) $733

Frequently asked questions

How much are closing costs in Michigan?

In Michigan, buyer closing costs typically run about 2%–5% of the purchase price. The state-specific pieces are the transfer tax (0.86%, customarily seller-paid), county recording fees (a flat fee per document, around $30), and title insurance. Michigan also requires an attorney at closing, which adds a fee. Use the calculator above for your price.

What is the transfer tax in Michigan?

Michigan's real-estate transfer tax is 0.86% and is customarily seller-paid. State transfer tax $3.75 per $500 (0.75%) + county $0.55 per $500 (0.11%); seller pays.

Who pays closing costs in Michigan?

Both buyer and seller pay different items. The transfer tax in Michigan is customarily seller-paid. Buyers generally cover lender fees, the appraisal, lender's title insurance and prepaids; sellers generally cover the agent commission and, in most states, the bulk of the transfer tax. Everything is negotiable in the contract.

Do I need an attorney to close in Michigan?

Yes. Michigan is an "attorney state" — a licensed attorney must conduct or oversee the real-estate closing, which adds an attorney fee to your costs.

Other states

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