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Updated almost 8 years ago,

User Stats

25
Posts
5
Votes
Norberto Ballesteros
  • Houston, TX
5
Votes |
25
Posts

Charging origination fee as a discount point

Norberto Ballesteros
  • Houston, TX
Posted

In the course of discussion with a RE Broker, the broker stated that they advised all of their clients to request their RMLO charge their origination fee as a discount point.

The intent is to capture the tax write off of a discount point. The broker claimed some RMLO's have obliged the request. 

I was under the impression that a discount point could only be used to reduce the interest rate.

In the context of a residential, primary residence, fha/conforming conventional loan, does this violate any of the alphabet soup of Regulations?

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