Mortgage Fees: Unlocking The Rubik’s Cube Of Getting A Loan

Mortgage Fees – What Should You Pay, What You Shouldn’t Pay

Mortgage FeesOur good friend Casey Moseman at All Western Mortgage posted an awesome blog on her company’s website about mortgage fees. This blog unlocks the Rubik’s cube of mortgagees. Fees that can be confusing and sometimes mind-boggling. Give her a call if you are buying a house or refinancing in the Las Vegas area at 702.271.1274. 
Mortgage fees will always be involved if you are using a mortgage to purchase or refinancing your home.  Your mortgage down payment isn’t the only upfront payment you’ll be making. You will also have to pay closing costs. You can expect to pay 2% – 5% of your home’s purchase price in closing costs.
It is widely believed that all mortgage fees (closing costs) go to the lender. In reality, many costs are related to services performed by other people involved in the transaction. Lenders typically have no control over these costs. You should always carefully check our breakdown of common closing fees below and never hesitate to ask questions.  A good loan officer should be able to describe all mortgage fees and who it pays on your behalf.    

The Mortgage Origination Fee

The lender and or loan officer charges a loan origination fee for closing a loan. The origination fee or points is generally determined as a percentage of the total loan cost. It also normally ranges between 0.5 and 2% of the loan amount.  You generally will never pay this unless your loan closes.  Please be aware and respectful of the upfront work your loan officer does.  They will not be paid unless the loan closes with you.

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