Fees To Expect In Your Mortgage
It can seem like every single step of buying a home involves something you have to pay for. Getting your mortgage approved (a necessity to allow you to actually buy your home) involves mortgage fees. Most commonly, mortgage fees fall under closing costs along with other fees like the appraisal, title search, and processing fees. It is difficulty to pinpoint an exact figure on mortgage fees since they vary from area to area, there are some fees that you can expect in just about every mortgage. Keep reading to hear more from Amy Bailey Oehler of PrimeLending, and click this link to read the full article on what fees to expect in your mortgage.
Mortgage fees you're likely to pay
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Appraisal ($450 to $650): An appraisal by a licensed appraiser will almost always be required by the lender. The price varies depending on the size of the property and the type of loan you're getting. "A lot of lenders will require payment for the appraisal upfront," says Oehler. "The appraisal fee goes directly to the appraiser. If the loan doesn't close, but the appraisal was completed, then the appraisal fee is nonrefundable."
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Closing fee ($300 to $600): A representative from the title company will come to your closing to supervise the transfer of title, and you'll have to pay for the service.
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Credit report fee ($25 to $50): This is the fee to pull your credit report.
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Inspection ($450 to $500): The inspection isn't a requirement for the loan, but it is highly, highly recommended. This is another cost that is paid before you reach the closing table. Generally, you can negotiate either fixes, concessions, or a drop in sales price based on any problems the inspector finds.
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Lender's title insurance (usually 0.5% of the purchase price): This protects your lender if something was missed in the title search. The cost depends on the size of the policy and is set by the state.
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Survey ($350 to $500): Most states require a survey of your property before you can get a loan. If a survey doesn't already exist that can be used, you'll have to pay someone to do it.
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Title search ($300 to $600): Your lender will do a search to ensure there are no liens on the property or anything that could prevent you from purchasing it. Sometimes this will be bundled with other title fees in your closing document