Not included: Third party costs that will NOT vary from lender to lender such as Property and Transfer Taxes, Realty Agent Fees you may have agreed to pay, Home Inspection Fees, escrows, pre-paids, and Title Company Fees. 

Definition of Lender Fees All of the 800 series on the GFE (commitment fee, credit report, funding fee, tax service fee, etc).

Pennsylvania Title Insurance Calculator: Out of state lenders may underestimate these fees, as each state varies.  Regardless of the estimate on a GFE, you will be charged the rate below at closing per PA Insurance law.

Other third Party Fees that will not vary (even by $1) from lender to lender:

PA Transfer Tax - Typically 1% paid by each the buyer and seller to the state.  Philadelphia rate is 1.5% each.  Many family transfers receive transfer tax exemptions.

Property tax and Insurance Escrows - The amount taken to be put in escrow initially at closing is enough to have a 2 month cushion per Federal Law.  For example if you annual taxes and insurance are $500 per month, every lender will require an initial escrow deposit that will maintain a $1,000 ($500 x 2 months) extra cushion.  This is to prevent you from receiving unwelcome, large bills due to escrow shortages because of the 99% certain annual inflation of your real estate/school taxes.

Condos- We do not require the owner to have homeowners insurance so there would be no insurance escrow.  Condo HOA fees are not escrowed, but the HOA provides the needed insurance for fires, etc.  If a condo owner elects to insure their furniture/personal property, that is optional, and not escrowed.

Prepaids - The standard PA sales contract will note the the buyer is to reimburse the seller for any prepaid items they paid in advance.  It is not required that the buyer pay these fees, unless it is part of the signed sales contract they agreed to.  It is simply customary...but here is a tip...eliminating this provision in the sales contract is a good way to lower closing costs without it being a technical, and regulated, "seller concession". 

If the seller just paid a $4,000 school tax bill for the coming year, that would be pro-rated to the amount of days the seller paid in advance for when they do not own the house.  The buyer could end up reimbursing the seller for almost the entire $4,000.  The same goes for other taxes, water bills, LP gas, etc.   It will all be listed in your sales contract.  Prepaid expense reimbursements can amount to several thousand dollars due at closing from the buyer to the seller.  This cost will not vary from lender to lender and can be underestimated, or not included in a Good Faith Estimate, by some lenders.  If it is not estimated properly, you will be surprised at closing by needing more money than you expected to need.

* Assumes a 30-60 day lock, $100,000 minimum, conventional, full documentation, conforming purchase or refinance mortgage with escrows for taxes and insurance.  Long term locks, Mega-Jumbo loans, lot, construction loans and non-conforming/sub-prime credit loans may have additional fees.  Refundable rate lock deposits may be charged in times of declining rates or when AMS deems necessary.   Information is deemed reliable and is subject to change.  

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