Down Payment
Most lenders require at least 10% of the purchase price, though new
programs are available for 3%-5% down. 100% financing can be found, but
you credit must be excellent and PMI insurance will be required. Loan
Origination Fee
A lender's fee for establishing a new loan. Government regulations allow
only 1% origination fee on FHA or VA loans. Conventional loan fees can
vary from -1 to 3+ points, plus other costs. A point is 1% of the loan.
Appraisal Fee
Fee paid to obtain an estimate of market value upon which the
lender will base the loan amount. The cost is about $300-$500. Non
refundable.
Credit
Report
An evaluation of the buyer's credit habits made by a credit bureau for the
lender. The cost is $50-$60. Non refundable.
Tax
Service Fee
A charge of approximately $75 is made by a tax service company to verify
to the lender that the taxes have actually been paid when due or are due
to be paid by borrower or mortgage company if impounding. We have Navarre
homes for sale.
Fee of approximately $250 up to 1% of the loan balance is charged by the
existing lender for the privilege of assuming the existing loan.
Pest
Inspection Fee
Fees of $75 - $100
Roof inspections cost
$75-$125. Geological reports cover subject's site in relation to fault and
slide zones, costing about $100. Septic $200-$400. Radon $50-$100.
Asbestos $75-$125.
Title
Insurance
This is an extended policy with more specific coverage than the standard
policy. It covers unrecorded liens, is based on loan amount only and is
required by almost all lenders. The cost is obtained from a rate chart and
is based on the loan amount.
Miscellaneous Costs & Fees
An estimate of $150 should be adequate to cover minor items as notary,
recording documents, endorsements, etc. as well as allowing for variations
from these other estimates.
Hazard
Insurance Reserve
Two month's premium is collected for the impound account if required. The
buyer will need to either provide or pay for coverage for the 1st year.
Negotiating Fees
The above fees are typical costs when buying real estate in Florida
counties. Most of the fees are considered buyer's non-recurring closing
costs. Some of the fees are fixed while others are negotiable. Your real
estate agent can negotiate with the sellers to pay some or most of these
costs, saving you thousands of dollars in closing costs. Ask your real
estate agent and loan agent to provide estimated closing costs of buying a
home before looking at homes
Prepaid Interest
Interest must be paid from COE (close of escrow) to 30 days prior to the
first regular mortgage payment. An estimate of one months interest should
suffice.
Mortgage Insurance
Mortgage Insurance is required on all conventional loans greater than 80%.
The cost may range from 1/2% to 1% per year and 14 months premium is
collected in advance. This is coverage for the lender in case of default.
Tax
Impounds
If the new loan is going to have an impound account, the lender will
require from 2-10 months taxes to be deposited, depending on the time of
year. Note: if taxes are prorated, buyer's total charge for taxes should
equal about six month's taxes.
Escrow
Fee
These fees range from $750-$2500, depending on the sales price. In some
counties its customarily paid by the seller, in other counties the buyer
pays, while in others it may be customarily split. Remember though,
everything is negotiable.
Navarre Homes
