Closing Costs and Fees Explained Part 3: Lender Fees

Mortgage Closing Cost Lender Fees
• Lenders Charges ($0 to 850)
• Mortgage Broker Fees (1-3%)

The Mortgage Network of Ohio Inc typically charges 1 to 3% of the loan amount, for its Cincinnati real estateservices. These services include but are not limited to prequalifying the buyer and collecting the papers and signatures needed to start the process. This way all parties know what to expect financially with the purchase price and payments including the taxes and insurances. This includes the credit check and the verification process on the Buyers income and Funds to close (typically funds to close must be in your account for at least 60 days). Once a contract is negotiated, we will lock in your loan for a time that is reflected on the purchase contract at terms and conditions most favorable to the buyer and at that time have the RESPA’s and State forms signed. The Lender orders the appraisal and we order the title work and oversee that order and work with all parties to insure a smooth closing. Near closing, we review the Settlement Statement with the Buyers and answer any/all questions in preparation of the closing. The Mortgage Network gives back to the buyer any amount that is a credit from the selected rate called Lender Paid Compensation to the buyer to offset the closing cost. If your Buyer goes it alone they may not receive the credit to offset the closing cost and they are subject to that one Banks or Credit Unions rates, fees and programs, so essentially the competitive advantage is lost. Another credit that a buyer will receive is the credit that is typically given from the seller to the buyer for the property taxes being one year in arrears. This too will help to offset the closing cost numbers and need to be figured into the net figures of doing a purchase loan. If you would like to see how this would work in your individual situation, give me a call or email me and of course there’s no cost and certainly no obligation.

About Jeff Steinacker

At The Mortgage Network of Ohio Inc., we believe that you should have more than one option for a Mortgage. We will take your application, work every possible scenario, then offer you options of loan programs available to meet your needs. Jeff can be reached at 513 346 4070 x10 or jeff@themortgagenet.net
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