Closing costs by state
Closing costs in North Dakota
Closing costs in North Dakota run about 2% to 5% of the price for a buyer, made of lender fees, title and settlement, recording, prepaid interest and escrow reserves; on a $400,000 home the worked example below comes to $10,055. North Dakota has no state-level real estate transfer tax.
Last verified ·Sources:ndlegis.gov·ndlegis.gov·ndlegis.gov
The rules
What North Dakota does differently
- State transfer tax
- None at the state level.
- Who pays it
- Not applicable.
- County and city add-ons
- None; the North Dakota Constitution (Art. X § 27) bars the state and every county, city and political subdivision from imposing transfer or mortgage taxes. Recorders charge flat fees ($20 for a document of one to six pages, $65 above six).
- Attorney at closing
- North Dakota does not require an attorney at closing; a title or escrow company usually conducts it, and an attorney is optional.
- Owner’s title policy
- The seller customarily pays for the owner’s title insurance policy in North Dakota; the buyer pays for the lender’s policy.
- Notes
- The constitutional ban is the primary proof. Title companies conduct closings, but a title policy may issue only after an attorney examines the title evidence. The Insurance Department calls the owner's-policy payer negotiable; sellers pay in many areas.
- ndlegis.gov — “Section 27. The state and any county, township, city, or any other political subdivision of the state may not impose any mortgage taxes or any sales or transfer taxes”
- ndlegis.gov — “11-18-05 ... twenty dollars for documents containing one to six pages and sixty-five dollars for documents containing more than six pages”
- ndlegis.gov — “26.1-20-05 ... may not issue any policy ... unless ... the title evidence has been examined by a person duly admitted to the practice of law”
Worked example
A $400,000 home in North Dakota, 20% down
Loan of $320,000 at 6.5%, closing on the 15th. Lender, title and recording figures are typical line items used for illustration, the same on every state page; the transfer tax and the owner’s policy side follow North Dakota’s rules above. Not a quote: the calculator takes your own figures.
Buyer pays
| Loan origination, 1% of the loan | $3,200 |
| Appraisal | $550 |
| Title and settlement services | $1,800 |
| Lender’s title policy | $900 |
| Recording | $150 |
| Prepaid interest, 15 days at 6.5% | $855 |
| Escrow reserve, 3 months of tax at 1.1% | $1,100 |
| First year of homeowners insurance | $1,500 |
| Total (2.514% of price) | $10,055 |
Seller pays
| Commission, 5% | $20,000 |
| Title and escrow fees | $2,000 |
| Owner’s title policy (estimate) | $1,500 |
| Prorated property tax | $1,500 |
| Total | $25,000 |
Questions
What people ask about North Dakota
- Who pays the transfer tax in North Dakota?
- North Dakota has no state-level real estate transfer tax.
- Do you need an attorney to close on a house in North Dakota?
- North Dakota does not require an attorney at closing; a title or escrow company usually conducts it, and an attorney is optional.
- Who pays for the owner’s title policy in North Dakota?
- The seller customarily pays for the owner’s title insurance policy in North Dakota; the buyer pays for the lender’s policy.
- How much are seller closing costs in North Dakota?
- On a $400,000 sale with a 5% commission, the worked example on this page comes to $25,000 for the seller, before the mortgage payoff and any concessions or repairs. The seller net sheet calculator shows the walk-away figure.
Last reviewed September 8, 2026 by the EstatePass editorial team. Formulas and program limits are checked against the published rules; figures on this page are arithmetic, not market statistics.
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