How much are real estate attorney fees for closing?

Closing attorney fees vary greatly from one state to another, and can reach $1,000 - $2,000 depending on the complexity of the transaction. Some attorneys charge a flat fee, while others will charge an hourly rate, usually $100 - $300.

You can compare real estate attorneys capable of helping you with the closing process on WalletHub. You can also find more information in our Mortgage Closing Guide.

Anyone considering purchasing a home will want to consider the requisite costs. The purchase price of the home is the largest cost but is only one of many fees that will add up to the complete cost of your real estate purchase. In some states, you are required to hire a real estate closing attorney with any real estate transaction. In other states, real estate closing attorneys are not required but optional. Check your local laws concerning real estate purchases.
A closing attorney is a real estate lawyer who specializes in closing a property transaction. The closing attorney will review and explain all the myriad of documents which you will be signing at the closing procedure and make sure they are legal and accurate, as well as resolve any issues that come up before the purchase is legally closed.
Fees naturally vary depending on where you live, the availability of practicing real estate closing lawyers in your area, and the complexity of your real estate closing needs. Typically, real estate attorneys have a flat fee schedule for providing closing services. For other real estate legal matters, most real estate attorneys charge by the hour. Hourly fees vary greatly depending on location, firm, experience and expertise, so it makes sense to understand the fee schedule of your real estate lawyer or firm upfront. Be smart and always request an estimate.
Most real estate purchasers don't expect to pay for closing costs on an hourly rate, rather they can expect a standard fee that varies from $150-1,800, with the average being in the $500-750 range. The variance in fees can be attributed to the wide array of real estate closing needs and the cost of the real estate purchase. For example, a straight forward purchase of a small starter home will require less on the part of a real estate closing lawyer, and thus will be less expensive than the purchase of a mansion by a foreign purchaser.

For some homebuyers, adding a real estate attorney to the proceedings can provide peace of mind. A knowledgeable and reputable real estate attorney can help you navigate the closing process and make sure that your interests are represented.

However, attorneys cost money. In some cases, you might even find that your lender has already hired a closing attorney, and the fees for that attorney are part of your closing costs. It’s important to find out ahead of time if this is the case and decide whether you want your own attorney as well.

What is Included in Closing Attorney Costs?

As with so many things in life, the cost of a closing attorney varies from state to state, and from attorney to attorney. It also depends on the type of transaction(s) the attorney will be handling.

Some attorneys start at a $100 - $150 flat fee to prepare a deed, and then go up to $1,000 or more for a “complete package.” Many packages start at around $500 or $600, depending on what you have done. A complete real estate closing package might consist of deed preparation, title examination, purchase/sale review (including checking the paperwork on your behalf), lender work, and purchases that require more than one transaction.

Other attorneys work at an hourly rate. It’s not uncommon to find closing attorneys that charge $200 an hour. However, you need to be careful, since you might be billed for time you spend communicating via phone or email with the attorney – and some will even put you on the clock for non-business related small talk!

In many cases, it is best to ask for a flat fee real estate closing package. Many closing attorneys offer these types of legal packages since property transactions are so common. If you only have a small amount of work to be done, an hourly rate might work, but it is often more cost-effective, overall, to ask about a package. Many closing attorneys offer special deals for closing packages, since they are so routine. 

Shop around, calling at least four or five attorneys, to get a feel for what’s available, and what is a reasonable closing attorney cost for your area.

Real estate lawyer fees usually wind up being around $1,500. But like with anything else, you get what you pay for here.

If you decide hiring a real estate attorney is the right thing to do, whether your transaction is complex or you simply want the peace of mind, don’t go bargain hunting. Find someone with a good reputation whom you trust, as long as their fees are reasonable.

Real estate attorney fees are a drop in the bucket compared to the total cost of the transaction, after all. Just make sure you’re both clear about exactly what services you’re paying for before signing anything or handing over any money.

It’s also worth noting real estate lawyer fees vary by geography, just like home prices.

I'm selling a home, I would think the buyer needs title searches etc.  What is entailed for a seller to have an attorney and would the cost be lower?  I remember using only a title company to buy my home 17 years ago.