Closing Fees Charged by Lenders When You Buy Tooele Property

cost of financing a home
Cost of Tooele Home Loan

Did you know there were closing fees charged by lenders when you buy Tooele property?

Buying or selling real estate in Tooele County UT? Like to know what that will cost you? I have seen a lot of home buyers show up to the closing table unprepared for all of the costs associated with  their transaction.

It’s impossible to tell you exactly what these incidental costs will be, but you should be aware that in addition to a real estate commission there will be additional costs incurred with each transaction.

Here are just a few of the possibilities.

An Explanation Of Lender Closing Charges In Tooele Utah

When you obtain a loan for a home purchase, you will be faced with many different charges associated with the mortgage. These are normally called closing costs, but there are actually varying types of expenses that fall into that category. This blog provides an explanation of lender closing charges in Tooele Utah.

Lender Closing Charges

Points

Points are a method for borrowers to obtain a discounted interest rate. It entails buying down the rate to lower payments for the life of the loan. This option may be helpful for homeowners who need a lower payment in order to secure approval.

Origination Fee

Origination charges vary from lender to lender. It typically covers the lender processing of the loan.The origination fee is one of the closing fees charged by lenders when you buy Tooele Property.

Appraisal Charge

An appraisal is mandated by a lender but performed by an independent professional. Appraisals verify the value of a property and its condition. A mortgage will not receive approval without a sufficient appraisal

Property Tax Services

Property taxes may be part of your recurring mortgage payment. The lender receives a specific amount from you with each mortgage payment and deposits those funds into an escrow account. When the tax payment is payable, payment is made from the escrow account. Many mortgage companies will charge a one-time fee to establish this tax service.

Flood Certificate

Real estate located within a flood zone must have flood insurance. Lenders request a flood certificate to determine the status of a property. Flood certificates are always the financial responsibility of the home owner.

Credit Report

Credit reports are used to assess credit worthiness and calculate mortgage rates. There is a cost associated with requesting credit reports from the 3 major credit bureaus. Mortgage companies will often pass on this expense to the borrower.

Additional Lender Closing Charges

The lender closing charges discussed above are merely a few of the fees that may be billed by your lender. For a complete list of potential expenses that you will be responsible for, or for assistance with other home buying or mortgage matters, contact Berna Sloan at Group1 Real Estate by calling 435-840-5029

If you have an agent, be sure they give you an estimate of what costs you should be prepared to pay @ closing. If you don’t have an agent, call me. I’d be happy to do a net sheet that spells out the closing fees charged by lenders when you buy Tooele Property.