Engagement Fee for a loan: LENDBASE

[Geoffrey Serdar]

Have any of you ever heard of an Engagement Fee for refinancing?

LENDBASE has the following fees

Conventional:

1% origination fee

$500 doc fee (est)

Title Work TBD

Appraisal $2000-$3000

Environmental $0-$2000 (depending on search)

Which all seem pretty normal, but FIRST they require you pay them up front $4,000.00 to start brokering loans, it’s their "non-refundable engagement fee.”

Has anyone ever heard of this ever? What has been your experience with LENDBASE? Their fees portion are so strange - your thoughts?

[Nicholas Covington]

Lol, that's a bit of a stretch. I wish I could pull something off like that... basically, its a fee to make sure you don't waste the lenders/broker's time. No I would not go with a company charging that. I get paid when the deal closes and so should any other lender.