First-Time Buyer Closing Costs in San Antonio: What to Expect

What first-time buyers in San Antonio should expect to pay at and before closing, and how to prepare

For many first-time buyers, the biggest surprise is not the down payment. It is the closing costs and the other payments due before closing, which are separate expenses with their own timing. Knowing what to expect, and when, makes the process far less stressful.

This guide explains first-time buyer closing costs in Texas. It was prepared by Tami Price, Broker Owner of Tami Price Properties, with two decades of experience, about 1,000 closed transactions, and over 650 five-star reviews and recommendations.

What closing costs do Texas buyers pay?

Property tax escrow can be significant in Texas, where property taxes are a large part of the monthly payment. Your lender's Loan Estimate will list each of these costs.

What do buyers pay before closing?

"I also explain the option fee, earnest money, inspections, and other expenses that may be due well before closing," Tami says. "Understanding when these payments are required is just as important as knowing the total amount."

How can first-time buyers reduce what they pay?

"I encourage buyers to speak with a lender early so they understand their estimated cash requirements and available financing options," Tami says. "Depending on the transaction, we may be able to negotiate seller contributions toward closing costs or take advantage of builder incentives. Eligible buyers may also qualify for down payment or closing cost assistance programs." Get pre-approved with Cindy Kolmeier at New American Funding or read about builder incentives.

What should sellers know?

Many first-time buyers ask for help with closing costs. Sellers who understand this can weigh a request for concessions against price and terms, and compare offers by net proceeds. Read about the cost of selling a home.

Frequently asked questions

Are closing costs the same as the down payment?

No. The down payment is part of the purchase price, while closing costs are separate fees and prepaid items due at closing.

What closing costs do buyers pay in Texas?

Typically lender fees, appraisal, title and settlement charges, prepaid homeowners insurance, prepaid interest, and initial escrow deposits for taxes and insurance.

What do I pay before closing?

The option fee, earnest money, inspections, and often the appraisal are due before closing. Earnest money is usually credited at closing.

Can the seller pay my closing costs?

Sellers and builders can contribute toward closing costs if negotiated, within limits set by your loan program.

Are there first-time buyer assistance programs?

Eligible buyers may qualify for down payment or closing cost assistance programs. A lender can explain which ones fit your situation.

This article is general information. Costs vary by loan, lender, and transaction; your Loan Estimate will list your specific costs. Tami Price is not a lender. Read how to buy a house in San Antonio.