MORTGAGE or Sales Price**
Refinance (0-2 years)
Refinance (2-4 years)
Refinance (10 years)
We now have a 35% discount
available on the above fees for our customers
**Amount = sales price on a purchase or the loan amount on a refinance
or construction loan.
***New Construction discount applies to houses in qualifying subdivisions.
Is this website helpful? Please become a fan. Other third Party Fees that
will not vary (even by $1) from lender to lender:
- 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. PA Transfer Tax
- 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. Property tax and Insurance Escrows
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.
- 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". Prepaids
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, $120,000 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.