Deciding when to refinance your mortgage means considering your personal situation, the prevailing interest rate environment — and something that really hits close to home: fees.
It’s common to pay as much as 3-6% of your outstanding principal in mortgage refinance fees, though the total can vary by state and by lender. It’s not a massive single charge, but a pile of small costs that quickly add up. If you decide to lock in a new, lower mortgage rate here are the hidden fees to watch out for.
A down payment on a house is a key first step in buying and owning your own home. If you're new to the housing market, you might be completely lost and not know where to start.
For a $300,000 home, you can expect to pay $6,000 to $10,000 in closing costs. These costs can include one-time fees like the following:
• Appraisal fee: the professional estimate of the home’s value.
• Survey fee: the cost for verifying a home’s definitive property lines.
• Wire transfer fee: the charge to wire funds to purchase the home.
• Underwriting and origination fees: the charge associated with evaluating, verifying and processing the loan application.
• Document prep fee: the cost associated with prepping your loan documents for processing.
• Discount points: paid at the time of the deal to lower the interest rate on your mortgage.
• Credit report fee: the charge for pulling your credit history and scores.
• Title insurance: a must-get policy that protects you in case the seller doesn’t have full deed and authority to the property.
• Recording fees: government fees for entering new property records.
