There are always a lot of questions about closing costs. You and your friend are both right. True closing costs - taxes, mortgage costs, recording fees, appraisal, survey - should run about 1.5-2%. The additional fees which are known as prepaids are the escrow amounts for taxes and the 1 year of homeowners paid at the table and escrow for homeowners. This will also add an additional 2% to your total. This is estimating $6500 in taxes and $2000 in homeowners. I came up with an estimate of 4%.
Remember items like appraisal, survey, processing fees, etc. stay the same price whether the house is 100K or 1million so as the price of the house goes up the percentage cost of closing costs and prepaids goes down. So if you were buying a 175K house you might need 6% but at 330K you need more about 4%. My email is email@example.com if you would like a pdf or an estimate.