lenders require at least 10% of the purchase price, though new programs are
available for 3%-5% down. 100% financing can be found, but you credit must be
excellent and PMI insurance will be required. Loan Origination Fee
fee for establishing a new loan. Government regulations allow only 1%
origination fee on FHA or VA loans. Conventional loan fees can vary from -1 to
3+ points, plus other costs. A point is 1% of the loan.
Fee paid to obtain an estimate of market value upon which the lender will base
the loan amount. The cost is about $300-$500. Non refundable.
An evaluation of the buyer's credit habits made by a
credit bureau for the lender. The cost is $50-$60. Non
A charge of approximately $75 is made by a tax service company to verify to the
lender that the taxes have actually been paid when due or are due to be paid by
borrower or mortgage company if impounding. Call Dale or Cathy for Pinehurst Forest
Creek MLS Listings.
Fee of approximately $250 up to 1% of the loan balance is charged by the
existing lender for the privilege of assuming the existing loan.
Pest Inspection Fee
Fees of $75 - $175 is charged by termite companies for inspecting property for
damage done by wood destroying organisms and dry rot. It is customary for the
seller to pay for Section 1 and the buyer for Section 2 work.
Other inspections the buyer may choose to have done are: property inspections
that usually cover foundation, electrical, plumbing and overall construction at
a cost of $300-$400. Roof inspections cost $75-$125. Geological reports cover
subject's site in relation to fault and slide zones, costing about $100. Septic
$200-$400. Radon $50-$100. Asbestos $75-$125.
This is an extended policy with more specific coverage
than the standard policy. It covers unrecorded liens, is based on loan amount
only and is required by almost all lenders. The cost is obtained from a rate
chart and is based on the loan amount.
Costs & Fees
An estimate of $150 should be adequate to cover minor items as notary,
recording documents, endorsements, etc. as well as allowing for variations from
these other estimates.
Two month's premium is collected for the impound account if required. The buyer
will need to either provide or pay for coverage for the 1st year. Call Dale or
a Forest Creek Home.
Interest must be paid from COE (close of escrow) to 30 days prior to the first
regular mortgage payment. An estimate of one months
interest should suffice.
Mortgage Insurance is required on all conventional loans greater than 80%. The
cost may range from 1/2% to 1% per year and 14 months premium is collected in
advance. This is coverage for the lender in case of default.
If the new loan is going to have an impound account, the lender will require
from 2-10 months taxes to be deposited, depending on the time of year. Note: if
taxes are prorated, buyer's total charge for taxes should equal about six
These fees range from $750-$2500, depending on the
sales price. In some counties its customarily paid by
the seller, in other counties the buyer pays, while in others it may be
customarily split. Remember though, everything is negotiable. Call Dale or Cathy for
Forest Creek Homes.
The above fees are typical costs when buying real estate in
Florida counties. Most of
the fees are considered buyer's non-recurring closing costs. Some of the fees
are fixed while others are negotiable. Your real estate agent can negotiate
with the sellers to pay some or most of these costs, saving you thousands of
dollars in closing costs. Ask your real estate agent and loan agent to provide
estimated closing costs of buying a home before looking at homes.
Please visit our other area
Real Estate websites:
Pinehurst Homes For Sale
NC Horse Farms
Pinehurst NC Real Estate
Fort Bragg Real Estate
Pinehurst Real Estate