They're showing $10,322.06 in fees ($2,571.86 in APR and $2,795.20 in no APR costs, and $5,205.00 in prepaid costs).Is this the best rate that he should expect?

Including prepaids, taxes, bank fees, lawyer fees.

Once re-rented, the previous tenant is no longer liable, and you would have to return any pre-paid rent.

I obviously believe in Legal Shield (aka Pre-paid Legal), so I signed up to be an associate for them too.

Foreclosure Double security depositDismissed Bankruptcy Double security depositMore than 50% negative credit Double security deposit50/50 positive-negative credit 1 and 1/2 security depositGood credit / good rental history Single security depositGood credit / no rental history Double security depositNo credit / no rental history Double security deposit3 or more roommates Double security depositBroken lease 12th month rent prepay If Applicant(s) are deficient in two of the 6 areas above, approval MAY be granted with a larger security deposit and/or prepaid rent or a lease guarantor (except for automatic denial criteria as specified above).

There's another category called "prepaids" you'll want to get familiar with as well, which are the taxes and hazard insurance premiums a lender requires to be paid in advance so as to ensure their collateral (your home) isn't go to be a loss if you don't pay the taxes and the Govt comes and takes it away or it burns down in a fire. 

And once the prepaid rent is gone, do not expect another rent payment.

I'd expect closing costs to be about the same. 5kish for fees and prepaids.

I was lucky enough to have gotten through college without any debt thanks to my parents prepaid tuition.

And in answer to your question, things to know are if for any given rate the buyer is paying points, is there a pre-payment penalty (this is unlikely but worth noting), get a good estimate of the total of closing costs and prepaids.