The average closing cost is usually 2% to 5% of the total loan amount or line of credit. Sometimes a lender might offer ‘no-fee’ HELOCs or home equity loans; however, they might have already added it into the interest cost of your loan, so always double-check if you’re unsure. The closing cost accounts for lender fees and third-party services and includes things such as appraisal, title insurance policy, and settlement fees, among others.