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With literally thousands of mortgage companies and banks on-line today, comparing interest rates can at times be very
difficult. Information is not always fully disclosed or the
manner in which it is presented can make finding the disclosed
information very challenging.
Compare
Apples to Apples
In order to compare apples to
apples you need to
 make
all companies aware of the same
information:
- Purchase price
- Loan amount
- Type of property, i.e.
single family, condo, townhouse, etc.
Once you have been given a
rate based on the information you provided, you then need to
be sure the following questions have been addressed:
- Are there any points?
- Are there any broker
fees?
- Are there any origination
fees?
-
Are there any discount
fees?
All of the above will be expressed as a percentage
of the loan amount. These are very important questions,
because zero points does not necessarily mean zero fees,
as expressed as a percentage of the loan amount.
Closing
Costs
Beyond the fees expressed as
a percentage of the loan amount, you should see very little
difference in the closing costs. If there is a substantial
difference you are probably not comparing apples to apples.
Most of the costs or fees
that are incurred when purchasing or refinancing a home will
be the same regardless of the lender you use.
 These
are the fees charged by a party other than the mortgage broker
or lender and will vary based on state and loan size.
Regardless of whether or not they are disclosed to you, you
will have to pay them unless you have made specific
contractual agreements that circumvent these charges. The fees
in question are as follows:
- Title fees, which include
search, examination, abstract, closing fees, endorsements,
courier fees, document prep fees, attorney's fees and
title insurance
- Government recording and
transfer fees
- Survey fees
- Appraisal fees
In addition to the closing
costs, you may have pre-paid fees. These are not considered
closing costs, but are due and payable at time of close. The
fees include:
- Pre-paid interest
- Property tax escrows
- Insurance escrows
Bank Fees
Bank fees will also very from
lender to lender. But in most cases these fees will vary only
slightly. Bank fee's typically consists of:
- Underwriting fees
- Tax related service
fees
- Processing fees
Getting all
the facts up front will make for a smoother closing with no
last minute surprises. Let the Dedicated Credit Repair
professionals guide you through the loan process and help
you get the financing that is right for you. Click below now to
apply online.
Compare
Loans
If you would like to
check Today's Rates
click
here.
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