Closing Costs in Georgia: Savannah Buyer Snapshot

Are you trying to pin down how much cash you will really need to close on a home in Savannah? You are not alone. Closing costs can feel fuzzy until you see the final numbers, which makes budgeting stressful when you are excited to buy. In this guide, you will learn what Savannah buyers typically pay, how each fee works, local factors that change the total, and simple ways to estimate and reduce your out-of-pocket costs. Let’s dive in.

What closing costs cover in Savannah

Closing costs are the one-time fees you pay to finalize your mortgage and transfer the property into your name. In Georgia, and in the Savannah area specifically, buyers usually cover lender and third-party fees, some title and recording charges, plus prepaid items and initial escrow reserves. Here is what that includes.

Loan fees you can expect

• Loan origination and processing: This is what your lender charges to process and underwrite your mortgage. It can be a flat fee or a percentage, often 0.25 percent to 1.0 percent of the loan amount.
• Application and administration: Commonly a few hundred dollars, typically $200 to $1,000.
• Discount points: Optional. You can pay points to lower your interest rate. One point equals 1 percent of the loan amount.
• Credit report: Usually $25 to $50.

Third-party services ordered by the lender or you

• Appraisal: Confirms the home’s value for the lender. Commonly $400 to $800, higher for unique properties.
• Home inspections: Your choice but strongly recommended. A general inspection often runs $300 to $600. Specialized inspections like pest, HVAC, radon, or sewer are extra.
• Survey: Sometimes requested by the lender or for boundary clarity. Roughly $200 to $600 or more depending on scope.
• Other certifications: Flood zone determination and other property-specific checks may appear as small line items.

Title and settlement charges

• Title search and settlement/closing fee: Paid to the title or closing attorney’s office for handling the transaction and disbursing funds. Often $300 to $800.
• Title insurance: The lender’s policy is typically a buyer cost. An owner’s policy is recommended and may be negotiable in Georgia depending on local custom and your contract. Premiums are one-time and based on price. Ask your Savannah title company for an exact quote.
• Recording fees: Paid to Chatham County to record the deed and mortgage. Expect modest fixed fees that your title company will itemize on your Closing Disclosure.

Taxes, prepaids, and escrow reserves

• Prorated property taxes: You will reimburse the seller for any portion of taxes they prepaid for the year, or vice versa depending on the timing. The amount depends on Chatham County assessed value and current millage rates.
• Homeowner’s insurance premium: Many lenders collect the first year’s premium at closing.
• Prepaid interest: Prepaid interest covers the interest from your closing date until the end of that month.
• Escrow reserves: Lenders commonly collect 1 to 2 months of taxes and insurance to start your escrow account. Federal rules allow a cushion of up to 2 months.

Government and recording taxes in Georgia

• Transfer and recording-related taxes: Local and state transfer taxes vary by location. Georgia also has historically charged an intangible recording tax on new mortgages. Confirm the current rules and rates with your closing attorney, title company, or the Georgia Department of Revenue.

How much Savannah buyers typically pay

A practical planning range for buyer closing costs, not including your down payment, is about 2 percent to 5 percent of the purchase price. On top of that, plan for prepaid items and escrow reserves for taxes and insurance. Your total cash to close will depend on your price point, loan type, timing within the tax year, and whether you negotiate any seller-paid credits.

Below are example planning ranges. These are illustrations. Always use quotes from your lender, insurance agent, and title company to finalize.

• Example A: Purchase price $200,000

  • Closing costs at 2 percent to 5 percent: $4,000 to $10,000
  • Prepaids and escrow: $1,500 to $4,000
  • Estimated cash to close: about $5,500 to $14,000, plus down payment

• Example B: Purchase price $350,000

  • Closing costs at 2 percent to 5 percent: $7,000 to $17,500
  • Prepaids and escrow: $2,500 to $5,500
  • Estimated cash to close: about $9,500 to $23,000, plus down payment

• Example C: Purchase price $600,000

  • Closing costs at 2 percent to 5 percent: $12,000 to $30,000
  • Prepaids and escrow: $4,000 to $10,000
  • Estimated cash to close: about $16,000 to $40,000, plus down payment

Savannah and Chatham County factors that change your total

Property tax timing and millage

Chatham County millage rates and assessed values determine your prorated taxes at closing and the escrow your lender collects. Tax billing calendars also affect whether the buyer reimburses the seller or the seller credits the buyer. Check the Chatham County Tax Commissioner or Assessor for the current millage rate and tax calendar.

Local title and recording practices

Recording fees for the deed and mortgage are set by the county and are typically modest. Your title or closing attorney will pull the exact fee schedule for Chatham County. Title insurance premiums and who pays the owner’s policy can be negotiable in Georgia and may follow local custom in Savannah. Clarify this in your offer.

Mortgage type and cost add-ons

If you are using FHA or VA financing, there can be program-specific upfront fees or premiums. These can sometimes be financed or paid at closing. Ask your lender how your program handles these costs and any limits on seller concessions.

Step-by-step: Estimate your cash to close

Use this quick approach to build a working budget before you apply.

1. Start with your target purchase price (P).
2. Estimate basic closing costs at 2 percent to 5 percent of P for lender fees, third-party services, title and recording.
3. Add prepaids:
   • First-year homeowner’s insurance: get a local quote. A common range is $700 to $2,000 depending on coverage and property.
   • Prorated property taxes: use the Chatham County annual tax estimate and multiply by your share of the year.
   • Prepaid interest: approximate as loan amount × interest rate ÷ 365 × days remaining in the month after your closing date.
4. Add escrow reserves: many lenders collect 1 to 2 months of taxes and 1 to 2 months of insurance at closing.
5. Add inspections and optional costs: general home inspection, specialized inspections, and a survey if required.
6. Subtract any seller-paid credits, lender credits, or down payment assistance you expect to receive.
7. Lock it in with documents: your lender must provide a Loan Estimate within 3 business days of your application and a final Closing Disclosure at least 3 business days before closing. These documents give you the authoritative numbers.

Ways to lower your out-of-pocket costs

• Ask for seller concessions: You can negotiate a seller credit toward your closing costs, subject to limits set by your loan program.
• Shop lenders: Request Loan Estimates from at least two or three lenders and compare total fees, not just the interest rate.
• Consider lender credits: You may accept a slightly higher rate in exchange for a credit that reduces your upfront cash.
• Negotiate lender fees: Some lenders will reduce or waive certain charges.
• Compare title and settlement fees: Get quotes from Savannah title companies. While some items are regulated, other line items can vary.
• Time your closing: Closing earlier or later in the month affects prepaid interest. The time of year can affect tax prorations.
• Explore assistance programs: The Georgia Department of Community Affairs administers programs like Georgia Dream that may help eligible buyers with down payment and sometimes closing costs. Local agencies and nonprofits in Savannah and Chatham County may offer additional support. Confirm current eligibility and funding.

What to expect on disclosures and funds

• Within 3 business days after you apply, your lender provides a Loan Estimate that outlines your projected closing costs and monthly payment.
• At least 3 business days before closing, you receive a Closing Disclosure with your final numbers. Review it line by line and ask questions right away.
• Most title companies require certified funds for your cash to close. Plan for a wire transfer or cashier’s check based on the closing attorney’s instructions.

Local reminders for Savannah buyers

• Check current Chatham County millage rates and tax billing dates so you understand your prorations and escrow setup.
• Confirm whether the owner’s title policy is commonly paid by buyer or seller in your part of Savannah. Put the agreement in your purchase contract.
• Ask your lender how your loan type handles upfront mortgage insurance or program fees and whether those can be financed.
• Verify Georgia’s current rules on any transfer or mortgage intangible taxes with your title company or the Georgia Department of Revenue.

Ready to plan your closing like a pro?

You can make smarter offers and avoid last-minute surprises when you know your numbers early. If you want a clear estimate tailored to your price range, neighborhood, and loan type, I am here to help you coordinate quotes from lenders, title companies, and insurers and negotiate credits that fit your budget. Connect with Marcy Todd to get a personalized closing plan for your Savannah home purchase.

FAQs

What are typical buyer closing costs in Savannah, Georgia?

• Buyers commonly plan for 2 percent to 5 percent of the purchase price for closing costs, plus prepaid items and initial escrow reserves for taxes and insurance.

How do property taxes affect closing costs in Chatham County?

• Your share is prorated based on the county’s tax calendar and current millage rates, and your lender may also collect 1 to 2 months of tax reserves for escrow at closing.

When will I know my exact cash to close amount?

• Your lender must send a Loan Estimate within 3 business days of application and a final Closing Disclosure at least 3 business days before closing with the exact figures.

Can the seller pay some of my closing costs in Savannah?

• Yes, seller concessions are common but must be negotiated in your contract and must follow your loan program’s limits on how much the seller can contribute.

What prepaid items should I expect to pay at closing?

• Expect the first year of homeowner’s insurance, prepaid interest from your closing date to month-end, prorated property taxes, and initial escrow reserves for taxes and insurance.

Are there Georgia-specific taxes I should be aware of when getting a mortgage?

• Georgia has historically charged an intangible recording tax on new mortgages and may have transfer-related taxes. Confirm current rates and how they apply to your loan with your title company.