Definition of Mortgage Fees:

Orange County Mortgage Fees:

Lenders and brokers will include a list of fees in their Good Faith Estimates (GFE) that a borrower will pay when they close on a home loan. The fees will include points, yield spread premium (YSP) and underwriting/processing fees to the lender or broker as well as other recurring and non-recurring fees. A point is an up-front fee charged by a lender for processing a new loan application (1003), used as compensation for putting the loan in place. Origination fees are quoted as a percentage of the total loan and are generally between 1% and 1.5% on mortgage loans in Orange County. An origination fee is similar to any commission-based payment. If a lender takes a 1% fee for originating a loan, they will make $4,000 on a $400,000 loan, or $6,000 on a $600,000 loan.

Non-Recurring Fees: Fees that are paid once and never again are called non-recurring. These fees are one-time charges for such items as:

  • Title Policy – ALTA ($500 and $1,500)

  • Escrow ($1,500 and $4,000)

  • Appraisal ($500 and $1,200)

  • Credit Report ($25)

  • Notary ($35)

  • Wire fees ($50 - $75)

  • Courier / Delivery ($75)

  • Recording ($75)

  • Home Protection Plan ($500 - $1,000)

  • Fees paid to the lender in conjunction with the loan on the HUD1, line 800.(Varies)

Recurring fees are those charges that you will pay again and again. They include such fees as:

  • Fire Insurance Premium (varies)

  • Flood Insurance (varies - if required in your area)

  • Property Taxes (Varies)

  • Mutual or Private Mortgage Insurance Premiums (if required – varies)

 

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