Have you ever wondered who is allowed (or required!) to pay what fees. Hopefully, this chart will help!
Fee/Expense |
Borrower |
Seller |
4% Concession |
1% origination fee |
x |
x |
|
Discount Points-customary |
x |
x |
|
Discount Points-to permanently buydown interest rate |
x |
x |
x |
Escrowed Funds for temporary buydown |
x |
x |
x |
Funding Fee |
x |
x |
x |
Appraisal |
x |
x |
|
2nd Appraisal requested by Veteran for reconsideration of value |
x |
x |
|
2nd Appraisal requested by lender for reconsideration of value |
|
x |
|
Recording Fees |
x |
x |
|
Credit Report |
x |
x |
|
Prepaid Taxes and Insurance |
x |
x |
x |
Prepaid Interest |
x |
x |
|
Hazard / Flood Insurance |
x |
x |
|
Flood Cert |
x |
x |
|
Title Examination |
x |
x |
|
Title Insurance |
x |
x |
|
Section II, Continued from Section I above
continued....
Fee/Expense |
Borrower |
Seller |
4% Concession |
Termite Inspection |
|
x |
|
Mailing Fees – Refinance |
x |
|
|
MERS Fee |
x |
x |
|
Loan closing or settlement fee |
|
x |
|
Doc Prep, UW, Processing/App Fees |
|
x |
|
Attorney services (other than title work) |
|
x |
|
Photographs |
|
x |
|
Interest rate lock-in fees |
|
x |
|
Postage, mailing, telephone calls |
|
x |
|
Amortization schedules |
|
x |
|
Escrow charges |
|
x |
|
Notary fees, trustee fees |
|
x |
|
Tax Service fee |
|
x |
|
Fee or commissions to buyer’s agent |
|
x |
|
Gifts from seller – Example: TV or microwave |
|
x |
x |
Payoff of credit balances or judgments |
|
x |
x |
If you have questions or request clairfication, contact your Colorado Home lender.
Opinions expressed here are the sole responsibility of the author, and do not necessarily reflect the view of Fairway Independent Mortgage.
Ruth Vogt, Sales Manager
#LMB100023827, NMLSR# 257576
Equal Housing Opportunity.
Regulated by the Division of Real Estate.
ruthv@fairwaymc.com 303-881-7849.
VA loan is difficult on the sellers. I reject all offers which are not high conventional mortage. Having a FHA loan having a good time delay delay loan.
This is very good information to share with home buyers and home sellers.
Sam Shueh I am so sorry to hear that veterans are not given consideration on your listings. (I'm a lender, so forgive me for asking - especially if this is a stupid question) but aren't all offers suppose to be presented to a seller and let them decide on what offers to take?
Roy Kelley it can get tricky remember who is allowed to pay what fees. There are the "normal, obvious" ones, but once in awhile a new one sneaks into a transaction and I have to check the charts to be sure!
To make all the payments we can make use of the best paypal money adder which has proved to be very successful in recent past. Thanks.
Certainly its all about pp money adder