Explanation breaking down loan costs

[Steven Barr]

Hi BP - I am buying an investment property for $90,000 with 25% down. All of my costs are below. The closing costs seem VERY high. Is this a reasonable amount to assume paying?

Purchase price: 90,000

Borrower closing costs (including prepaid and intial escrow payments): 5,728.85

Discount Points: 675

Loan amount: 67,500

Other credits (borrower paid fees, earnest money, employer assisted housing, lease purchase fund, lot equity, relocation funds, sweat equity trade equity, other): 1,000

Total due from borrower: 96,403.85

Less other credits; 1,000

cash due: 27, 903.85

Looks like closing costs are $5,403.85 on a $67,500 loan. That's 8% fee! Am i misunderstanding something?

[Steven Barr]

Quote from @Dave Skow:

@Steven Barr- thanks - the prepaids  are  likely  1-2K ......even if the prepaids were low  - the  costs  dont  seem out of line for a 7.5%  rate 

Did not realize the prepaids would be that much. Thanks!