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Closing Cost, These seem high

Posted on: 10th May, 2010 01:04 pm
I just received my GFE. Some fees seem awful high. What do you think? Am I being taken advantage of? The loan is for $120,000 at 5.375% on a short sale. First, the mortgage broker wrote the GFE for $129,900. Stated that if he wrote it for 120,000, there would be no room to negotiate with the bank on a counter offer. Here are the fees I am being charged that I am questioning if they are high. The property is in Port St. Lucie, FL. Is my broker giving me the shaft?

Origination fee $1260
Title agent closing fee $750
Appraisal fee $475
Credit report $100
Owners title ins. $725
Lenders title ins. $375
Recording fees $210
Transfer taxes $909.30
Survey $375 Home inspection $450
The costs do not look out of line.
There are some things we can not tell.
We do not know the state, so, we can not tell if title costs in line, but, they look reasonable.
We do not know the state, so, we can not tell who pays the transfer taxes, the buyer or the seller. In some states the transfer fees are put on the GFE even though the seller pays them.
Credit report costs can not be charged more than they actually cost. So, if GFE sats $100 and they actually cost $30, the most you can be charged at closing is $30.
Despite what we do not know, the costs look reasonable and appropriate.
Posted on: 11th May, 2010 05:25 am
Thank you for your expertise John.
Posted on: 11th May, 2010 03:58 pm
Ron, besides the fees/costs looking like they are in line, I would suggest you appear to be working with a mortgage broker who has some experience and a good working knowledge of short sales.

Not four hours ago I had a short sale counteroffered from the $220,000 purchase contractt to $260,000 after 4 months of processing waiting for a bank reply. the bank counteroffering a higher sales price can happen.
Posted on: 11th May, 2010 04:09 pm
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