Are My Origination Fees Being Gouged?

[Becky Riley]

Hey Bigger Pockets!

Long-time lurker, first time poster here. 

I'm having some trouble with a refinance. We are cleared to close and the clock is against me as my rate lock has been extended. When I was sent my initial closing disclosure (before my appraisal), Section A. had 2 line items: 

"1.2% of Loan Amount (Points)" aka the Origination Fee

$1,295 "Commitment Fee." 

I've had to extend my rate a few times for various reasons, so I understand these charges being slightly higher. When we got to the virtual closing table yesterday (it'd timed out that I am out of town), I realized the CD still reflected the $152,000 loan amount we discussed before the appraisal, and not the increased cash-out we had talked about when the appraisal came back much higher than expected. So we had to delay until the paperwork was amended.

My issue is this: I'm being told that, as my loan amount increases, my Origination Fee is increasing. At $189,600, the max 80% LTV, my lender has the Fee at 1.95%. If I want to buy down my rate -0.125%, the Origination Fee for that same $189,600 loan jumps to 3.05%.

This is my first property and I've refinanced once before, so this is my 3rd time at the closing table. And this just doesn't sound right to me. Based on my experience, everything I've researched and everyone I've talked to, these numbers are gouged. 

Even if I don't buy down my interest rate, they are asking me to bring nearly $5,000 to the table in Origination Charges alone on a loan under $200K. Am I right to be alarmed by these numbers? Or is the scaling of the Origination Fee and increased closing expenses to be expected in the current market?

Thanks in advance!

[Ashley Cross]

Is this conventional or hard money? I've had a similar experience with hard money. Definitely no where close to this level. Also, origination charges which include the loan discount are different from the loan origination fee.