By Todd Pooler, REALTOR® · The Pooler Group | Realty ONE Group · Updated October 3, 2026

Know the fees—and the cash you actually need.

Closing costs in Arizona are the expenses associated with financing and completing your home purchase. They are separate from your down payment. Your cash to close is a different number: it accounts for the down payment, closing charges, deposits, credits, and other adjustments.

This guide helps Surprise and West Valley buyers organize those numbers, compare estimates, and avoid counting the same expense twice.

Arizona home closing-cost planning

What is included in Arizona closing costs?

Ask for an itemized estimate for your property and loan. A percentage of the purchase price cannot explain which charges you will actually owe.

Cost group Examples Question to ask
Loan charges Origination, underwriting, and optional discount points Which charges change if I choose a different rate or lender?
Title and settlement Escrow services, applicable title policies, and recording What is my share under the contract?
Prepaids and initial escrow Insurance, prepaid interest, and initial escrow funding for future bills What dates and annual amounts were used?
Property and association items Applicable HOA charges, prorations, and other property-specific adjustments Which are one-time charges and which recur?
Loan-program charges Applicable upfront mortgage insurance or VA funding fee Is the charge required, exempted, paid in cash, or financed?

Inspections and an appraisal may require payment before closing. Keep those receipts and ask how each paid item appears in your final accounting. Moving expenses and money retained for repairs belong in your overall budget, too.

Closing costs versus cash to close: a simple example

Assume a $450,000 purchase with 5% down. These invented figures illustrate the arithmetic; they are not average Arizona fees or a lender quote.

Down payment $22,500
Assumed closing charges, prepaids, and escrow funding + $12,000
Subtotal before credits $34,500
Earnest money already deposited − $5,000
Assumed seller credit, fully permitted and usable − $3,000
Illustrative remaining cash to close $26,500

Assumes no additional prorations, adjustments, financed fees, or lender credits. The $12,000 excludes separately paid inspection expenses. Actual settlement figures will differ.

The $5,000 deposit is part of your contribution, not an extra fee on top of the total. The seller credit is an assumption that must be negotiated and approved. Keep a separate reserve for your move and initial maintenance.

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Who pays closing costs in Arizona?

The purchase contract, representation agreements, loan requirements, and final settlement determine responsibility. Do not assume the seller automatically pays both agents or every title charge. Brokerage compensation is negotiable and should be explained in your written agreement.

Before making an offer, ask Todd and your lender to identify your likely charges and the effect of any requested seller contribution. Confirm association-related charges with the association and escrow company.

Compare estimates before choosing a loan

The CFPB Loan Estimate guide explains the difference between closing costs and cash to close. Compare offers for the same loan type, term, and loan amount, with similar timing and rate-lock assumptions.

  • Points: paying more upfront for a lower rate deserves a comparison against how long you expect to keep the loan.
  • Lender credits: lower upfront cash can come with a higher rate. Compare both payment and total cost.
  • Seller credits: ask how much is allowed and how much you can actually use. They are not automatically available for your down payment.
  • Builder incentives: compare the complete home and loan package, including any lender requirement.

Your Closing Disclosure provides the final loan and closing figures. Review it against earlier estimates and ask about unexplained changes.

VA buyers: zero down does not mean zero costs

Eligible VA buyers may purchase without a down payment, but closing expenses can still apply. A VA funding fee may also apply unless the borrower qualifies for an exemption. Ask your lender to explain cash-paid versus financed charges. Review the VA funding-fee and closing-cost guidance and our military and veteran buyer resources.

Your before-closing checklist

Use this on-page checklist for planning. Selections are not submitted and may reset when you leave.

Quick answers

Does putting 20% down make closing costs 20%?

No. Your down payment and transaction expenses are different categories. A larger down payment changes your cash contribution and may affect loan costs, but it should not be relabeled as a closing fee.

Do cash buyers have closing costs?

They can. Paying cash removes mortgage-related charges, but settlement, title, inspections, association items, and property adjustments can remain. Request a cash-purchase estimate from escrow.

Can every closing charge be rolled into the mortgage?

No. Financing treatment depends on the loan program and transaction. Ask the lender which specific charges, if any, can be financed and how that changes the balance and payment.

Plan the purchase before you choose the house

Todd can help you organize property questions and offer terms while your lender and escrow company prepare the financial estimates.

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Todd Pooler · The Pooler Group · Realty ONE Group · 602-432-3557. General buyer education; examples are hypothetical. Obtain property-specific lender and escrow estimates and appropriate tax or legal advice.