Mortgage Appraisal Items
I am refinancing my house, but what do all of these fees mean? Where is my money going?
I am not sure where all these fees are going. What does all this mean? I am refinancing my house and I would like to know who is getting all this money that I am paying for. What’s a mortgage broker fee? And all these other fees?
Loan amt. 221,250 Int rate 6.625
800 Items Payable in connection with loan:
801 Loan Origination fee2215.5
802 Loan Discount fee2215.5
803 Appraisal Fee(400)
808 Mortgage Broker fee 400.00
810 Processing Fee 900.00
Administration fee950.00
Processing fee495.00
1100 Title Charges
1101 Closing or Escrow Fee: Estimated Escrow 650.00
1105 Document Preparation fee 150.00
1106 Notary Fee 150.00
1108 Title Insurance Estimated Title850.00
Misc 250.00
1200 Government Recording and Transfer Charges
1201 Recording fees 90.00
Estimated Closing Cost9409.00
Estimated Prepaid Items/Reserves 1280.00
Est. settlement charges10,689.00
That’s a lot of fees – the bank/mortgage company gets most of that money – that’s how they stay in business and pay the brokers you are getting the refinancing thru – have you tried more than one broker to see if anyone else charges less in fees?
006 Mortgage Application Items
Big home remodeling projects may not be worth the investment
If you’re considering a major home-renovation project, think long and hard about what you want to do and how much it will cost – especially if you plan to sell your house and think your improvements will boost the price enough that you’ll cash in.
The above mentioned are the basic requirements in order to qualify for a home loan. Secondly, I was interested to know how big a home loan I could get considering Mortgage Appraisal Items. As soon as I knew how much, I could start searching for a house.
Mortgage Appraisal Items
Are my closing costs to high in San Antonio, TX?
Are my closing costs to high ?Here are the costs:
Loan Amount: $122,003
Interest Rate: 5.875%
Loan Origination Fee: (1%) 1,202.00
Loan Discount: (2%) 2,440.06
Appraisal Fee: 375.00
Credit Report: 26.50
Tax Related Service Fee: 400.00
Processing Fee: 725.00
Closing or Escrow Fee (FHA) 425.00
Title Insurance: 700.00
Tax Certificates: 40.00
Endorsements: 84.00
Titles Delivery Fee: 25.00
Policy Guarantee: 1.00
Recording Fee: 110.00
(Items required by lender to be paid in advance)
Interest for 23 days: 457.93
Mortgage Insurance Premium: 1,803.00
Hazard Insurance Premium: 792.96
(Reserves deposited with lender)
Hazard insurance Premium: 198.24
Taxes and assessment reserves: 1,003.80
Aggregate adjustment: -401.52
estimated closing cost: $10,407.97
The loan office said it would probably be 2K less than quoted but still is 8K-10K high for closing? Seems a little high. Thanks!
YES this is WAY TOO high!!!! The origination is average, but you should not have to pay 2% in discount points – period! The tax relation service is a joke – we only charge $59!!!!! Seriously, they are screwing you royally. Also, the processing fee is straight income to the lender, that’s not needed either. I’d also be curious to know what tax certificates and endorements are, I’m not familiary with those but then again it may be a state fee (I do loans in Washington state).
Prepaids and reserves will not change from lender to lender, those are standard costs when purchasing a home.
PLEASE shop around you are easily paying $3,500 too much!! At my credit union you could get a $122,003 loan for about $3,000 in closing costs at the same rate of 5.875% on a 30 year fixed loan, whereas you’re paying $6,553 for the same thing!! Do yourself a favor and shop around by getting a Good Faith Estimate, check with local credit unions they’re generally cheaper in closing costs. Good luck.