A few months ago I wrote about how I was done procrastinating and ready to get in the game. Since then I have been viewing properties and today I saw one that I thing the numbers might make sense and I am ready to make an offer. I asked a lender to run an estimate for me and I was shocked at the amount of fees that I need to pay. Obviously I am a newbie in the game and I do have that newbie skepticism and always feel like I am being ripped off ( has happened many times before). Is accurate ( please see below). Is there some that I can remove or put into the monthly payment or get some kind of seller concession for? Please help me make sense of it.

The property is 450K. I am putting 20 % down ( 90K) but I see there is about 27K in fees and closing cost. Also interest rate has gone slightly down but I am getting an 8.8 % interest rate with credit score of 734.

Lender Fees $1,640.00

Discount Points $4,680.00

Appraisal Fees $825.00

Credit Report Fee $25.00

Tax Service $68.00

Credit Technology and Verification Fee $75.00

Title Fees $836.50

Owner's Title Insurance $513.00

Lender's Title Insurance $2,507.00

Transfer Taxes $9,626.00

Recording Fees $519.50

Total Closing Costs $21,315.00

Prepaid Interest 2 days @ $87.53 /day $175.06

1 year Insurance Premium $1,500.00

Property Taxes $3,632.04

Insurance Escrow Reserves 2 months @ $125.00 /month $250.00

Tax Escrow Reserves 2 months @ $302.67 /month $605.34

Total Loan Prepaids $6,162.44

Down Payment $90,000.00

Total Estimated Due at Closing $117,477.44

Loan Program

Purchase Price $450,000.00
Total Loan Amount $360,000.00
Interest Rate 8.875%
APR 8.337%
Product Indigo Edge NonQM 30 Yr Fixed

Your Monthly housing breakdown

Principal & Interest: $2,864.32
Insurance: $125.00
Taxes: $302.67
TOTAL $3,291.99

Help making sense of estimate

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