Can someone help with Two fees comparison?

desi_indian_37 · Joined: 29 Jan 2008 Posts: 4

I received quote from two different company with following fees:

First company:
The loan related closing cost is about $2,400, detailed as follwoings:
Appraisal fee: $434.56
Credit report: $20
Lender fee: $940.95
Lender's title insurance ~$575
Recording fee: $80
Endorsement fee: $75
Other title misc charges: ~$275 including notary fee, doc preprparation fee, deliver fee, wire fee.

Another company:
loan charge

Lender underwriting fee $780
broker fee $500
appraisal fee $434
credit fee $18.50
please contact escrow to get escrow charge

4.75% for 30 year fixed based last Friday rate (335K loan for 585K house)

But both gave me same rate so I am wondering which one is having more charges? as other company did not disclose escrow charge.

Can someone help?

m2c · Joined: 03 Aug 2005 Posts: 937

I’ve got my doubts on “another company”. I hate to companies (usually savings banks) that quote “plus title”. Not exactly what “another company” is doing since they say “plus escrow charge” – usually around $200. Do they really mean they are not getting title coverage for lender? I doubt it but that would swing the pendulum towards “another”. Lender’s title insurance at $575 for “first company” seems a little thin; per thousand rate is usually set by state rating bureau and may be around $4/M. I suspect this is a real estate contract split of title insurance costs but if so, it looks as if you’re not getting owners coverage.

In general, $2,400 in closing cost for this size purchase would be around normal here. Breakdown seems a bit weird – no survey; endorsement fees are dirt cheap, etc. I’d ask for printed GFEs. Not a big deal – just an educated “guess” but it will get you closer to reality. Not big deal for broker -- just a push of the computer button.

desi_indian_37 · Joined: 29 Jan 2008 Posts: 4

After having detail discussion first company provided me following:
I have to pay following:
(1) Property transfer tax
(2) Owner's title insurance - 1650
(3) Escrow fees - 885 and
(4) Home warrenty.

Previously they will cover:
Appraisal Fee 300
Credit Report Fee 50
Tax Service Fee 70
Document Preparation 100
Settlement or closing fee (Escrow Fee) 250
Notary fee 60
Title Insurance 1000
Recording Fees 40
Flood Determination Fee 40
Wire Fee 40
Processing Fee 395
--
Total comes out to be 2345/-