Charges & Fees

The charges listed below are charges that may or may not be charged to you by the Lender. You will be receiving a "Good Faith Estimate" which outlines certain charges we anticipate you will pay in connection with your mortgage loan. This document is an estimate only; you may incur additional charges as a result of your transaction. Many of the charges are due at the time of closing, however, we may require the payment of some of the fees or charges prior to closing. These fees are explained below:

Application Fee: Our office does not charge you an application fee. (That's because your business is very important to us!)

Appraisal Fee: This fee is charged in connection with obtaining an appraisal completed by an approved appraiser to determine the value of the property for lending purposes. The fee for the appraisal may vary due to: property type, number of units, occupancy status, condition of the property and property location.

Credit Report: This charge covers the cost of a standard factual credit report from "consumer reporting agencies" which enables the lender to determine your credit standing and history. These fees are due and payable at the time of request or at closing upon the lender's discretion.

Commitment Fee/Origination Fee: This fee is charged by the lender as consideration for binding the lender to make a loan in accordance with the terms and conditions of its commitment. This fee may be charged as a percentage of the loan amount and is payable at closing. It may be required at "lock-in" depending on the lender.

Document Prep Fee: This fee is charged by the lender for preparing all closing documents including the note and mortgage.

Lock-In Fee: In the event you select a program with a lock-in feature, you may be asked to provide a lock-in fee to guarantee your interest rate and/or discount points for a period of time based on conditions specified in the lock-in agreement.

Loan Discount Points: "Points" may be charges in connection with your loan's interest rate, term and length of lock period. Points are a percentage of your loan amount.

Tax Service Fee: This fee will be collected at closing and is the requirement of your loan servicer. The service provided monitors collection, payment and receipt of the tax and insurance payments. It is mandatory for all borrowers, whether their taxes and/or insurance premiums are escrowed or not, to receive the service. Sometimes this is called an escrow fee. It may also include homeowners insurance or association dues.

Third Party Charges: Specific charges paid by or incurred by the lender which must be reimbursed. These charges may be paid to the lender at the time of billing or collected at closing. These charges may include but are not limited to: credit report fees, flood cert., project approval, underwriting fees, courier fees, etc.

Underwriting Fee: This fee is paid at closing. It is a fee incurred by the lender for the underwriting of the loan package.