Rental Property Investor · Central U. S. A. · Member since 2013 · 296 posts · 149 votes
3y
At a real estate closing, loan fees are typically paid by the borrower as part of the closing costs. Closing costs are the various fees and expenses that are associated with the purchase or sale of a property, and they are typically paid at or before the closing of the transaction.
Loan fees are one type of closing cost that the borrower may be responsible for paying. These fees can include origination fees, points, and other fees charged by the lender for processing and underwriting the loan. The borrower may also be required to pay other closing costs, such as title fees, appraisal fees, and recording fees.
The specific closing costs that the borrower is responsible for paying will depend on the terms of the loan and the requirements of the lender. The borrower should review the closing disclosure provided by the lender, which will itemize all of the closing costs and fees that the borrower will be required to pay at closing. The borrower should also discuss the closing costs with their real estate agent or attorney to understand their responsibilities and to ensure that they have sufficient funds available to cover these costs.
Rental Property Investor · Central U. S. A. · Member since 2013 · 296 posts · 149 votes
3y
At a real estate closing, loan fees are typically paid by the borrower as part of the closing costs. Closing costs are the various fees and expenses that are associated with the purchase or sale of a property, and they are typically paid at or before the closing of the transaction.
Loan fees are one type of closing cost that the borrower may be responsible for paying. These fees can include origination fees, points, and other fees charged by the lender for processing and underwriting the loan. The borrower may also be required to pay other closing costs, such as title fees, appraisal fees, and recording fees.
The specific closing costs that the borrower is responsible for paying will depend on the terms of the loan and the requirements of the lender. The borrower should review the closing disclosure provided by the lender, which will itemize all of the closing costs and fees that the borrower will be required to pay at closing. The borrower should also discuss the closing costs with their real estate agent or attorney to understand their responsibilities and to ensure that they have sufficient funds available to cover these costs.
Real Estate Agent · Los Angeles, United States · Member since 2021 · 392 posts · 162 votes
3y
Yep. @John T. is on the money here. Typically, loan fees fall under your recurring and non recurring closing costs that happeN at the end of a transaction. :) You will be paying these fees. I recommend getting a very clear idea of what your closing costs and estimate of what your final closing statement will look like before you pass your days allotted for your loan contingency in your offer. That way in the event you can’t afford the costs or they turn out to be much more expensive than you think you have a window to get out of the deal without losing your earnest money. Caution though: in some states, due diligence is put down in lieu of earnest money (or in addition to). Due diligence is not usually refundable, so it’s important to get a clear picture of what your closing costs will be before you submit your offer.