Do lenders require a fee to get into a conventional loan for investment property?

[Shawn Trousdale]

My wife and I are looking to get into an investment propoerty in Texas.  We are using personal contacts to gain knowledge and get conected with professionals.  We have been prequalified for a conventional mortgage at 20% down.  They are saying there is another fee/cost to get the financing collected by the lender in addition to the down and closing costs of up to 4% of the borrowed amount.

Is this fee typical for a conventional loan for an investment property?

[Caroline Gerardo]

You will pay for an appraisal, non refundable. A few might charge $90 for the credit report. Nothing else can be charged upfront for conventional.

Conventional non owner there is no pricing below 2 point structure today. In addition you will pay title/settlement/impounds/insurance/taxes/ CPL/ appraisal/ recording/notary/ underwriting/processing/credit ... and maybe a few others depending on your financials.

If you are doing a small loan the fees look giant, this is standard for any loan.