You might look into pre-paid legal if you are losing sleep over this.

Even though I had a terminal illness I figured if I pre-paid to live somewhere for a year I’d need to be alive to do that.

She is on M2M and prepaid the months of May and June before closing so we will honor those 2 months that she is paid for on her old lease rate. 

Current Loan: 30 year fixed rate @ 4.25% (just closed a refinance in April) -Monthly Payment of $3325 + $900 taxes and insurance = $4225 monthlyCash out Refi: 30 year fixed rate @ 3.875% - Monthly Payment $3375 + $646 taxes and insurance (lower as I'm adding an Escrow account) = $4020 + $4773 in fees + $4715 total prepaids (taxes and insurance).  

Your closing costs will be much higher than this, particularly with prepaid taxes and insurance.

The rest is as follows: * Purchase price - $437,000 * Loan Amount - $421,705 * Loan Amount with Financed FHA Upfront Premium ($7,379) - $429,084 * Down Payment - $15,295Loan AmountInterest RatePrinciple & InterestPrivate Mortgage Insurance (PMI)Monthly Escrows - Taxes & InsuranceTotal Payment (PITI)Closing Costs & Pre-paid Expenses - EstimatedSeller Credit for Upfront PMI / Closing Costs & Pre-paid ExpensesCash to Close - Estimated 1

@Bryan Hartlen You will have prorated property taxes, lenders fees, insurance that sometimes has to be prepaid, inspection fees., appraisals etc.Best thing to do is speak with a title company or closing attorney in the area you are looking to get a schedule of fees.

@Dave Foster Another question: how does adding a credit for prepaids to the purchase price affect the net gain? 

@Bridget PostonI just usually put in my offer to purchase "seller to pay up to $4000 towards buyers points, pre-paids and closing costs".

I have prepaid some principal but I do not count that as cash in at this time due to the fact it was completely discretionary + since I have a full time job, I was choosing to throw a little bit of spare change towards the mortgage on top of what my tenants were paying me.