New build closing costs run about 2% to 5% of the purchase price, the same band you'd budget on a resale, so on a $400,000 home plan for roughly $8,000 to $20,000 due at the table. The total breaks into four buckets: lender fees, title and government charges (including Florida's documentary stamp and intangible taxes), prepaids and escrow for insurance and property tax, and a short list of new-construction-only items like utility connection fees and, in a lot of Nassau County subdivisions, a Community Development District assessment.
The charges that catch first-time new-build buyers off guard are the stack of small fees and the two or three line items that have no equivalent on a resale.
How much are closing costs on a new build?
Budget 2% to 5% of the contract price. On a $300,000 build that's about $6,000 to $15,000; on $400,000, roughly $8,000 to $20,000; on a $600,000 home, $12,000 to $30,000. Where you land inside that spread comes down to your loan size, whether the lot sits in a flood zone, and whether the community carries a CDD.
| Purchase price | Estimated closing costs (2% to 5%) |
|---|---|
| $300,000 | $6,000 to $15,000 |
| $400,000 | $8,000 to $20,000 |
| $600,000 | $12,000 to $30,000 |
Those are planning ranges. The actual figure depends on your loan amount, the title company's fee schedule, and the prepaids the lender collects up front. At Salt Harbor we put a line-by-line closing worksheet in front of every new-build buyer before they sign, so the number at the table is a confirmation, not a surprise.
What makes up the closing costs on a new construction home?
The money lands in four places. Lender fees (origination, underwriting, appraisal, credit) usually run the largest single share. Title and government charges come next. Prepaids and escrow setup fund your first insurance premium and a property-tax cushion. The fourth bucket is the new-construction-only one, and it's the part a resale buyer never sees.
Florida's transfer taxes are formula-driven, so you can calculate them to the dollar. The documentary stamp tax on the deed is $0.70 per $100 of the price, which is $2,800 on a $400,000 home. The documentary stamp on the mortgage note is $0.35 per $100 of the loan, and the intangible tax adds $0.002 per dollar borrowed; on a $320,000 loan that's $1,120 and $640. The loan-side taxes are customarily the buyer's, while the deed stamp is customarily the seller's, which on a new build is the builder. Who actually covers each line, and how a builder's preferred-lender credit shifts it, is its own subject. See our piece on who pays closing costs on a new construction home.
The fourth bucket is short but real. Builders commonly pass through utility connection or meter-set fees, an HOA capital contribution (often a one-time amount equal to a few months of dues), a transfer or document fee from the builder's title company, and, in CDD communities, a prorated slice of the district assessment. None of these show up on a resale closing, and together they can add a few thousand dollars.
Why is the property tax line so low at a new-build closing?
Because the county is often still taxing your lot as vacant land. On January 1 before the house was finished, the assessor valued the parcel without the structure, so the tax proration and your first-year escrow get set off the land-only figure. Once the completed home is reassessed, usually the following tax year, the bill climbs and your escrow can fall short.
That gap trips up buyers who budget straight off the closing statement. A lot assessed at $90,000 carries a far smaller bill than the same parcel with a finished $400,000 house on it. When the reassessment hits, the monthly payment can jump several hundred dollars to cover both the higher tax and the escrow shortage carried over from the first year. Budget from the house-included number from day one; the land-only figure on your settlement sheet is temporary.
How do insurance costs change the closing number?
A new home built to current Florida Building Code earns wind mitigation credits (hurricane straps, a code-rated roof shape, impact-rated windows) that cut the windstorm share of the homeowners premium. So the hazard insurance you prepay at closing is often lower than on an older house down the street. The catch: if the lot sits in a FEMA flood zone, the lender requires separate flood insurance, and the wind credit does nothing for that line.
Around here that tradeoff is the whole ballgame. A new build on higher ground inland can insure cheaper than the older home its buyer just sold. A new build on a low lot near the marsh, the kind that backs up to Egans Creek or sits a few feet above the Intracoastal, can owe a full year of flood premium at closing that erases the wind savings. Pull the elevation certificate and a flood quote before you assume the new construction is the cheaper home to insure.
Frequently asked questions
Are closing costs cheaper on new builds?
Roughly the same percentage, 2% to 5% of the price. The mix is what differs: a new home's wind mitigation credits can lower the insurance you prepay, while utility connection fees and a CDD assessment add costs a resale never carries. Most new builds land in the same range, not meaningfully cheaper.
Can new-build closing costs be financed or rolled into the loan?
On a standard purchase, no. Closing costs are paid in cash at the table and are not added to your loan balance the way they can be on a refinance. A lender or seller credit can offset them; how builder credits work is covered in our who-pays piece.
What does a CDD add to closing costs?
In a Community Development District, common in Nassau County communities like Wildlight in Yulee, closing includes a prorated share of the annual district assessment. That assessment then rides on your property tax bill every year and raises your escrow. Some builders offer a one-time bond buy-down.
What's the typical closing cost on a $300,000 house?
About $6,000 to $15,000, using the 2% to 5% range. In Florida that includes the documentary stamp tax on the note ($0.35 per $100 borrowed) and the intangible tax ($0.002 per dollar borrowed), plus lender fees, title charges, and prepaid insurance and taxes.