Am I getting ripped off with these closing costs?

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syncdafied	Am I getting ripped off with these closing costs?	Lead	[-]
Posts: 9446 (06/09/2009 7:26 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	$11,000 in closing costs seems really high for a 2 bedroom condo that's going for $210,000. Which of these items do I not need? I don't even know what some of these are. Federal Express Documents $78 Loan Origination Fee $2122 Loan Discount $2159 Appraisal Fee $450 Credit Report $40 Mortgage Interest $62 County Property Taxes Escrow $627 Settlement or Closing Fee $350 Abstract or Title Search $195 Title Examination $120 Document Preparation $395 Technology Fee $395 Title Insurance $1077 MICO Fee $295 Loan Commitment $200 Recording Fees $78 City/County/Stamps $439 State Tax/Stamps $1231 Survey $300 Pest Inspection $50 Home Inspection $350 Courier $25 Total $11,155 Edited By: syncdafied 06/09/2009 7:32 PM. Edited 2 times.
EJFiederer		#1	[-]
Posts: 13249 (06/09/2009 7:28 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	That is definitely very well padded with fees...starting with the $40 for the credit report that they run for free.
terpgirl		#2	[-]
Posts: 620 (06/09/2009 7:29 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	I am buying a house too. What can you do if you do get ripped off for closing costs?
syncdafied		#3	[-]
Posts: 9448 (06/09/2009 7:31 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	I haven't paid anything yet. This is what I'd have to pay if I were to sign a contract. I meet with them this weekend, and I want to go in there with a list of things to cut out.
toastnojelly		#4	[-]
Posts: 4190 (06/09/2009 7:31 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Holy shit, I dont think we have ever paid even near half that much!!! I am thinking our first was around 3 thousand.
syncdafied		#5	[-]
Posts: 9449 (06/09/2009 7:32 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	EJFiederer wrote: That is definitely very well padded with fees...starting with the $40 for the credit report that they run for free. Great catch. I remember their website advertising a free credit report. Anything else?
EJFiederer		#6	[-]
Posts: 13250 (06/09/2009 7:35 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	For starters, what was your agreement regarding appraisal fees? They always rip you off there. All of those copy, courier and recording fees are complete and utter bullshit! I would also question the doc prep fee. Seems awfully high. All of the fees seem really high....
DoesThatSparkle		#7	[-]
Posts: 2538 (06/09/2009 7:37 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Those are all pretty standard, the only odd ones (to me at least) are the Loan Commitment fee and the Technology fee. Every places charges for different things so there is no "standard", but those are just completely random and extra. Also, the doc prep fee and the loan origination fee are basically the same thing - essentially they are charging you twice for the same thing. How much are you buying the condo for? Edit: jk, saw you wrote at the top you are buying for $210k Edited By: DoesThatSparkle 06/09/2009 7:41 PM. Edited 1 times.
Too XTRM For The Letter E		#8	[-]
Posts: 739 (06/09/2009 7:37 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Shouldn't the sellers pay for the surveys/inspections? Or at least reimburse you for them, and any repairs that were needed as a result of them? Or does that convention vary from place to place?
syncdafied		#9	[-]
Posts: 9450 (06/09/2009 7:40 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	EJFiederer wrote: For starters, what was your agreement regarding appraisal fees? They always rip you off there. All of those copy, courier and recording fees are complete and utter bullshit! I would also question the doc prep fee. Seems awfully high. All of the fees seem really high.... We don't have an agreement on appraisal fees. Or any other fees. I'm very new at this and am learning as I go. If I asked them to take out the fees that you mentioned, is it likely that they'd do it?
EJFiederer		#10	[-]
Posts: 13252 (06/09/2009 7:41 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Too XTRM For The Letter E wrote: Shouldn't the sellers pay for the surveys/inspections? Or at least reimburse you for them, and any repairs that were needed as a result of them? Or does that convention vary from place to place? Home inspection is paid for by the buyer.
DoesThatSparkle		#11	[-]
Posts: 2539 (06/09/2009 7:42 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	A good way to tell if you are getting ripped off is to look at the interest rate AND the APR. If you don't mind me asking, what are those two numbers that they quoted you?
syncdafied		#12	[-]
Posts: 9451 (06/09/2009 7:46 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	DoesThatSparkle wrote: A good way to tell if you are getting ripped off is to look at the interest rate AND the APR. If you don't mind me asking, what are those two numbers that they quoted you? 5.25% interest rate 6.028% APR
EJFiederer		#13	[-]
Posts: 13253 (06/09/2009 7:48 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	syncdafied wrote: EJFiederer wrote: For starters, what was your agreement regarding appraisal fees? They always rip you off there. All of those copy, courier and recording fees are complete and utter bullshit! I would also question the doc prep fee. Seems awfully high. All of the fees seem really high.... We don't have an agreement on appraisal fees. Or any other fees. I'm very new at this and am learning as I go. If I asked them to take out the fees that you mentioned, is it likely that they'd do it? I got them to take them off but I went into full on bitch mode. I even scared my husband.
DoesThatSparkle		#14	[-]
Posts: 2541 (06/09/2009 7:49 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Alright, hold on. I have a program that I jacked from my old job that will tell me more specifics and how much you will pay/if you're getting ripped off, and all that. Edit: oh, and what monthly payment did they tell you? Edited By: DoesThatSparkle 06/09/2009 7:52 PM. Edited 1 times.
syncdafied		#15	[-]
Posts: 9452 (06/09/2009 7:51 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	Thanks for all the help so far guys. I've taken notes on all of your posts. What I have so far is that: 1. The credit report should be free. -$40 2. Unnecessary fees are the recording, courier, document prep, loan commitment, and technology fees. -$1093 total 3. Seller should pay the survey fee. -$300 4. Don't need documents sent FedEx. -$78 5. Title Search and Title Examination should only be one fee. -$120 That's savings of $1,630. Thanks! Anything else?
DoesThatSparkle		#16	[-]
Posts: 2542 (06/09/2009 7:53 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	syncdafied wrote: Thanks for all the help so far guys. I've taken notes on all of your posts. What I have so far is that: 1. The credit report should be free. -$40 2. Unnecessary fees are the recording, courier, document prep, loan commitment, and technology fees. -$1093 total 3. Seller should pay the survey fee. -$300 4. Don't need documents sent FedEx. -$78 5. Title Search and Title Examination should only be one fee. -$120 That's savings of $1,630. Thanks! Anything else? The credit report fee isn't necessarily going to be free. A lot of places do charge you for it. Lenders don't just get it for free (like someone else on here said), they have contracts with the bureaus that they have to pay for, and thus pass along the fees to their customers.
syncdafied		#17	[-]
Posts: 9453 (06/09/2009 7:54 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	DoesThatSparkle wrote: syncdafied wrote: Thanks for all the help so far guys. I've taken notes on all of your posts. What I have so far is that: 1. The credit report should be free. -$40 2. Unnecessary fees are the recording, courier, document prep, loan commitment, and technology fees. -$1093 total 3. Seller should pay the survey fee. -$300 4. Don't need documents sent FedEx. -$78 5. Title Search and Title Examination should only be one fee. -$120 That's savings of $1,630. Thanks! Anything else? The credit report fee isn't necessarily going to be free. A lot of places do charge you for it. Lenders don't just get it for free (like someone else on here said), they have contracts with the bureaus that they have to pay for, and thus pass along the fees to their customers. Yeah but they told me it was free. I just forgot.
BedHeadGurl		#18	[-]
Posts: 10737 (06/09/2009 7:57 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	i work with loans at a financial institution and the credit report is something you will most likely pay for. we have to pay for it so therefore that fee gets handed down to you. although i haven't seen closing costs that high ... the most i have seen is $5k
DoesThatSparkle		#19	[-]
Posts: 2543 (06/09/2009 7:58 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	syncdafied wrote: DoesThatSparkle wrote: syncdafied wrote: Thanks for all the help so far guys. I've taken notes on all of your posts. What I have so far is that: 1. The credit report should be free. -$40 2. Unnecessary fees are the recording, courier, document prep, loan commitment, and technology fees. -$1093 total 3. Seller should pay the survey fee. -$300 4. Don't need documents sent FedEx. -$78 5. Title Search and Title Examination should only be one fee. -$120 That's savings of $1,630. Thanks! Anything else? The credit report fee isn't necessarily going to be free. A lot of places do charge you for it. Lenders don't just get it for free (like someone else on here said), they have contracts with the bureaus that they have to pay for, and thus pass along the fees to their customers. Yeah but they told me it was free. I just forgot. Ok. If they told you it was going to be free, then that's a different story. What payment did they quote you? And does it include taxes and insurance or is that separate?
EJFiederer		#20	[-]
Posts: 13254 (06/09/2009 7:59 PM) Reply Quote More Recent Posts Message Friend Block Invite Ignore	DoesThatSparkle wrote: syncdafied wrote: Thanks for all the help so far guys. I've taken notes on all of your posts. What I have so far is that: 1. The credit report should be free. -$40 2. Unnecessary fees are the recording, courier, document prep, loan commitment, and technology fees. -$1093 total 3. Seller should pay the survey fee. -$300 4. Don't need documents sent FedEx. -$78 5. Title Search and Title Examination should only be one fee. -$120 That's savings of $1,630. Thanks! Anything else? The credit report fee isn't necessarily going to be free. A lot of places do charge you for it. Lenders don't just get it for free (like someone else on here said), they have contracts with the bureaus that they have to pay for, and thus pass along the fees to their customers. Companies pay Trans Union, Equifax or whoever they use a standard monthly fee whether they run one credit report a month or 500. The actual cost to them per report is about one dollar...nowhere near the $40 they are charging her. And most places these days are not charging at all....

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