Closing Costs in Minnesota (2026): What You'll Pay at the Table

What's Included in Minnesota Closing Costs

Breakdown on a $333,614 purchase with 6.4% rate

Estimates based on $333,614 purchase. Actual costs vary by lender, county, and loan type.

Closing Costs Calculator — Minnesota

Pre-loaded with Minnesota's transfer tax rate and median purchase price of $333,614

Minnesota Real Estate Transfer Tax

Transfer taxes are calculated on the sale price and paid at closing

Source: Minnesota revenue authority

Attorney at Closing: Not Required in Minnesota

Estimated Closing Costs by City in Minnesota

Based on each city's median price and Minnesota's closing cost rates

APR Calculator — True Cost of Your Loan

APR folds in closing costs so you can compare loans with different fee structures. Pre-loaded with Minnesota's median loan amount of $266,891 at 6.4%.

Should You Buy Points to Lower Your Rate?

Each point costs 1% of the loan ($2,669) and reduces your rate by roughly 0.25%. This calculator shows your break-even month.

How to Reduce Closing Costs in Minnesota

Mortgage Payment Calculator — Minnesota

After closing costs, here's what your monthly payment looks like on $333,614 in Minnesota

Frequently Asked Questions

What are average closing costs in Minnesota?

Closing costs in Minnesota average 2.70% of the purchase price. On the state median of $333,614, that's approximately $9,007. Minnesota ranks Near average — mortgage registry tax adds buyer cost not seen in most states nationally. Source: ClosingCorp 2021 / Urban Institute 2025.

Does Minnesota have a real estate transfer tax?

Yes. Deed Tax (State): $1.65 per $500 of net consideration (0.33%). Mortgage Registry Tax: $2.30 per $500 of debt secured (0.46%), paid by buyer on new loans. Hennepin and Ramsey counties do not add additional transfer taxes. On a $333,614 home, the transfer tax alone is $1,101.

Is an attorney required to close on a home in Minnesota?

No — Minnesota does not require an attorney at closing. A title company or escrow officer handles the closing process. You may still choose to hire an attorney for contract review, which is optional.

What is title insurance and how much does it cost in Minnesota?

Title insurance protects the lender (and optionally you) against ownership disputes, liens, and title defects discovered after closing. In Minnesota, lender's title insurance averages $1,500. Owner's title insurance is separate and typically costs 0.5–1% of the purchase price. Unlike other insurance, it's a one-time premium paid at closing.

Can closing costs be rolled into the mortgage in Minnesota?

You cannot roll closing costs into a purchase mortgage — lenders fund only the home's purchase price. However, you can negotiate seller concessions (seller pays your closing costs), use a slightly higher rate in exchange for lender credits, or apply down payment assistance funds toward closing costs. On a $266,891 loan in Minnesota, 1 point of lender credit costs about $667/mo extra in payment.

When do I get the Closing Disclosure in Minnesota?

Federal law (TRID) requires your lender to provide the Closing Disclosure at least 3 business days before closing. It shows final loan terms, monthly payment, and itemized closing costs. Compare it carefully to your Loan Estimate — lenders are limited in how much certain fees can change between the two documents.

What closing costs are tax-deductible in Minnesota?

Most closing costs are not deductible. Exceptions: prepaid mortgage interest (the interest accrued between closing and your first payment), and mortgage points paid to buy down your rate may be deductible in the year paid or amortized over the loan term. Property taxes prepaid at closing are deductible up to the $10,000 SALT cap. Consult a tax professional for Minnesota-specific guidance.