| Transfer tax | State deed tax $3.30 per $1,000 of consideration (0.33%). |
|---|---|
| Usually paid by | Seller pays deed tax; borrower pays mortgage registry tax |
| Mortgage tax | Mortgage registry tax 0.23% of the mortgage amount (borrower-paid). |
| Attorney at closing | Not required |
| Recording | Recording fees are set by the county recorder or registrar of titles; verify locally. |
What drives your total
Lender fees, title insurance, prepaid taxes and insurance, and any points you buy move the number most. On a $400,000 purchase, 2–5% means roughly $8,000–$20,000 at the table, your Loan Estimate itemizes every dollar three business days before closing.
Ways to reduce cash to close
- Seller credits (negotiated in the contract, program limits apply)
- Lender credits in exchange for a slightly higher rate
- Down payment assistance programs where available
- Closing on time, per-diem interest accrues daily
Sources: Tax Foundation 2026 (2024 ACS); MN Dept. of Revenue. Figures are typical ranges, not quotes.
FAQ
How much are closing costs in Minnesota?
Buyer closing costs in Minnesota typically run 2–5% of the purchase price. State-specific items include: State deed tax $3.30 per $1,000 of consideration (0.33%). Mortgage tax: Mortgage registry tax 0.23% of the mortgage amount (borrower-paid).
Who pays transfer tax in Minnesota?
Customarily the seller pays deed tax; borrower pays mortgage registry tax pays the transfer tax in Minnesota, though it is negotiable in the contract.
Does Minnesota require an attorney at closing?
No, Minnesota does not require an attorney at closing, though title insurance is still standard.