Tag: <span>Closing Costs</span>

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WHAT ARE THE ADVANTAGES OF WORKING WITH A MORTGAGE BROKER?

One advantage of working with a mortgage broker instead of a banker is the lender credit. The lender credit is a credit towards closing costs. This credit represents the excess premium from the lender after paying the broker’s commission. Brokers get paid a fixed percentage of the loan amount from the lender for each transaction....

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MOST LOANS WE ORIGINATE DO NOT INCLUDE POINTS

You may hear people talking about “points” or charging a “point” on a loan; what does this mean? A point typically represents the origination fee charged by the lender to originate the loan; One point is 1% of the loan amount. Example: If you are applying for a $200,000 loan, a point would be $2,000,...

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CLOSING COSTS: WHAT ARE THEY?

Here are the typical closing costs involved in getting a loan and a quick explanation of each cost: Underwriting/Administration Fee the fee charged by the lender to underwrite the loan. Appraisal fee – lenders require a third party valuation of the property by a licensed appraiser. Credit report fee – the fee charged by credit...