What Are My Closing Costs Going To Be?
What are my closing costs going to be? So you want to purcahse or refinance a home and you have no clue how much anything costs or how much cash you're going to need. Now, you can start by Googling "how much are my closing costs" or, take note of these two important tips that save you time and heartache.
Number 1: 90 percent of closing costs associated with a mortgage are standard fees charged by third parties, not the actual lender that you work with. Most of these costs are specifically based on the property you're financing, so if you don't have a property yet, you are just working with estimates now. So the main takeway from this is, regardless of what lender you choose to work with, a good portion of your closing cost will not vary much at all.
Number 2: Fees that are specific to each lender are super easy to identify, so when you're ready to compare costs, don't panic. You're not going to need a PhD to figure things out. All lenders are required to use the same exact form called the loan estimate when disclosing cost to borrowers, so comparing apples to apples will be a walk in the park.
Closing cost estimates will never be exact to the penny, but all lenders are required to provide borrowers with an accurate estimate, so there are no major surprises. Remember, since most fees are third party costs, like an attorney fee, for example, which the borrower chooses, we can't be exact. This being said, any fees charged by the lender must be exact and can only change under certain circumstances and only when the borrower has been notified within a specific amount of time.
Getting a mortgage doesn't have to be scary or become a full-time job. With a little bit of knowledge and a reputable lender, you should have a successful transaction.
If you have questions about closing costs or how to properly budget when you choose to finance your next home, give me a call anytime. I'm Don Anfuso, your Mortgage Professional for Life.
Client Testimonials
- "This is now the third time in eight years I have worked with Don. Every time is easier than the last if that was even possible."
Kevin Alcott“As first-time homebuyers, we were hesitant and questioning a few things, but Don was always available and willing to answer any questions we had.”Nick Mattia“He told me what I needed to do and told me if I did it I would be in a house in 8 months and he was absolutely right.”Ryne Barry - "Don was always available when I had questions or doubts, was completely transparent and helped me make some very smart financial decisions."
Kate Lewis“As first-time homebuyers, Donald and his team made the process smooth, easy and fast! Always available to ask questions, even after work hours!”Renata Clasadonte Iannitelli“His honesty, consistent follow-up and advice were invaluable in our process and made us feel comfortable trusting this major milestone in his hands.”Anthony Loffredo - “He was clear and transparent in his every move and it was a fairly smooth process. He even sent a lovely housewarming gift that we adore. ”Kathy Capozzi“The process was seamless and Don was available to answer all of our questions timely and thoroughly. ”Jessica S."Don helped us buy and refinance our first house and was an invaluable asset as we navigated those complicated waters for the first time."G. Dicrosta
