Mortgage Closing Costs Drop 7% — Bankrate Reports reports that the national average for mortgage closing cost in June this year dropped to 7.4% over the past year.

Bankrate surveyed up to 10 mortgage servicers or lenders in each of the U.S. states for the good faith mortgage closing cost estimates for a $200,000 mortgage to buy a single-family home with a 20% down payment and excellent credit.

Based on the survey result, nationwide, the average mortgage closing cost in June 2012 was $3,754 or 7.4% less – an equivalent of $300 less – than 12 months earlier.

The average mortgage closing cost referred to by Bankrate includes fees charged by lenders and third-party fees for services such as title insurance and appraisals.

Bankrate noted that the average mortgage closing cost does not include taxes, property insurance, association fees, interest and other prepaid items. As such, Bankrate said that your final mortgage closing charges will be a bit higher.

According to Bankrate, the average mortgage closing cost in Maryland in June 2012 was $3,582.

Greg McBride, Bankrate’s senior financial analyst, told CNN Money that the decline in mortgage closing cost can be attributed to the new regulation called the “Real Estate Settlement Practices Act” that requires mortgage servicers to be more accurate when estimating closing costs for borrowers.

Whether you are a first-time home buyer, first-time home seller, empty nester, thinking about selling a home or buying a home, do contact the Guldi Real Estate Group. In Southern Maryland, the Guldi Group is the number one real estate team