The average home buyer in Mississippi spends between $16,116 and $54,251 when purchasing a $181,232 home — the state median value.
Keep in mind, this is just the cost of buying a home. After you close, you'll still need to budget for all the ongoing costs of homeownership.
If you're looking for ways to cut down on the costs of buying a home, Clever Real Estate can help. We're an agent-matching service that can help you compare real estate agents in your local area. All of our agents offer local expertise to keep more money in your pocket.
Clever will connect you with a top local agent and send you a check after closing. Contact Clever for full-service realtor recommendations.
Average closing costs in Mississippi
| Expense | Amount |
|---|---|
| Earnest money deposit (1-3%) | $1,812 to $5,437 |
| Down payment (3.5-20%) | $6,343 to $36,246 |
| Cash reserves | $1,935 to $2,903 |
| Closing costs (2.36%) | $4,277 |
| Inspection | $249 |
| Appraisal | $249 |
| Moving | $1,250 to $4,890 |
| Total | $16,116 to $54,251 |
Buyer closing costs in Mississippi
While the other costs to buy a house in Mississippi are pretty transparent, Mississippi closing costs are a bit more nuanced. They're actually a series of smaller costs lumped together into one total. Here's a breakdown of all of the Mississippi closing costs you'll likely pay when buying a home.
| Closing cost | Amount |
|---|---|
| Closing fee | $181 |
| Recording fee | $43 |
| Title service fees | $715 |
| Origination fee | $906 |
| Underwriting fee | $600 |
| Discount points | $1,450 per point |
| Lender's title insurance | $382 |
| Owner's title insurance | Typically paid by seller |
| Prorated property tax | Varies |
| Transfer tax | N/A |
| Total | $4,277 |
Does the buyer or seller pay closing costs in Mississippi?
The seller typically pays the bulk of the closing costs in Mississippi. The seller is responsible for costs like title insurance, real estate transfer tax, and recording fees. The seller also pays their listing agent.
- Traditionally, the seller set the fee they were willing to pay a buyer's agent.
- In August 2024, a lawsuit against the National Association of Realtors changed this so that buyer's agents have to negotiate rates directly with the buyers they represent.
- Most buyers will still ask sellers to pay this fee as a concession from their sale proceeds, so the buyer doesn't have to bring more cash to closing.
Will the NAR lawsuit change how real estate commission works?
After losing a lawsuit over their practices in 2024, the National Association of Realtors agreed to change how real estate professionals do business.
As of August 2024, buyer's agents are required to sign an "agency agreement" before providing services to a buyer. This agreement has to specify what services the agent will provide, and how much they will get paid.
Real estate agents are no longer allowed to split commissions with one another. In the past, it was common for a listing agent to collect a 6% fee from the seller, and then split this fee with a buyer's agent who brought a buyer. Going forward, buyer's agents will have to negotiate their fee directly with the buyer they represent.
Learn more about how the real estate commission changes will impact buyers and sellers.
Keep in mind, closing costs are often negotiable. Motivated sellers will sometimes agree to pay for some of the buyer's closing costs. However, to win the negotiation battle, you'll need a great agent who can work out a deal with the seller. Clever can match you with a top agent in your area that can get the seller to shoulder more of the above costs.
Contact us at Clever for top agent recommendations.Cost to buy a house in Mississippi calculator
Ongoing costs of homeownership in Mississippi
Unfortunately, the cost to buy a house is just the beginning. After closing, you'll officially own the home and begin paying for the ongoing costs of homeownership.
Besides the expenses outlined above, you'll also want to consider private mortgage insurance (PMI) and homeowner's association (HOA) fees.
- If you pay less than 20% as a down payment on your house, you'll probably have to pay PMI monthly until you get to 20% equity. For the average Mississippi homeowner, this is between $79 to $267 a month.
- Some neighborhoods have HOA fees for the care and maintenance of common areas. The national average is around $250 per month.
» MORE: The true cost of homeownership
Top ways to save money when buying a house in Mississippi
1. Look into better financing options
Paying off debts and getting your credit in the best shape possible before applying for a loan will help you get a better interest rate, which will lower your monthly payments for the life of the loan.
You can also shop around to compare lenders so you get the lowest fees and interest rates available. It may be a good idea to enlist the help of a mortgage broker if you're not sure how to go about vetting lenders.
2. Participate in home buyer programs in Mississippi
There are a few statewide programs you might be eligible for to make homeownership more affordable in Mississippi. For instance, the Mississippi Home Corporation offers the Smart6 and the MRB7 — both loan products with favorable terms — and the option for a mortgage credit certificate (MCC).
There is also the non-profit Habitat for Humanity, which grants low-income buyers access to affordable housing through “sweat equity” or acts of volunteerism.
» MORE: First-time home buyer programs everyone should know about
3. Partner with an expert agent
Having an expert agent on your side can ensure you win the negotiating battle with the seller.
Clever can help match you with a knowledgeable, hyper-local agent that knows the ins and outs of how to save you money on your local fees. And best of all, our service is totally free!
Finding a great local realtor is the first step in making your home buying dreams a reality. Our free service matches you with top agents from trusted brands like Keller Williams and RE/MAX.
Enter your zip code to request hand-picked agent matches in minutes. Compare your options until you find the perfect fit, or walk away with no obligation. Try Clever's free service today!
Methodology
The Clever team of researchers gathered data for property taxes, transfer taxes, and recording fees using publicly available information. We found average costs for attorney fees, title insurance, and other services by requesting quotes from local providers.
Home values are based on Zillow data as of February 2025.
