Profile picture for skadoo8242

Average Underwriting fees, etc?

I received my first good faith estimate and had a couple of questions. What are the typical underwriting, survey, and tax service fees? Actually what are the average costs of most of the typical large items on a good faith estimate. How high is too high for these fees? And also are they negotiable?

  • May 06 2009 - Davie
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Answers (6)

Profile picture for bagram60
To Jerry:
Lowest fees are for Closing purpose? or those are fees that will be paid regularly with the loan ?
Because GFE includes just closing fees.
In regarding of this: what is good for buyers - to includes escrow charges in mortgage payment or not ? Some banks don't even allow you to do this!
  • April 04 2013
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I once had a client that took 10 loan Good Faith Estimates and put them on a spreadsheet and compared each from lowest rate to highest fees and sent it to me. Amazingly the lowest rate had the highest fees and highest rate the lowest fees. I was almost able to draw a line diagonally from high to low.
The real question this an most clients never ask is, what is best for my situation. Is the lowest rate or lowest fees better for me.
Since each persons needs are different the answer will be different. So find a lender that ask you indepth questions about how the financing you are putting in place fits into your overall financial goals, both long and short term.
  • May 12 2009
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Hello Skadoo,

If you are having concerns about your fees, why wouldn't you ask the lender that gave you the GFE. If you feel uncomfortable with the lender you are working with to ask this question then that is your first red flag. Do not work with anyone you do not feel comfortable with asking questions that as a consumer you deserve answers to. Typical fees should be around -
Underwriting - $275-695
Flood Certificate - $8-$15
Tax Service Fee - $50-$100
Survey - $235-$500

Over all, closing cost on a Florida loan should be anywhere from 3%-5% of your total loan amount depending on whether you are buying your rate down or not.

For a comparison quote, feel free to contact me with your situation and I'd be happy to assist you. 
  • May 07 2009
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Profile picture for SoCal Engr
I'll support Andrew on the "worry about the bottom line" approach.

I recently refi'd, and it is often difficult to establish a direct correlation between fees from lender to lender (I'll forego the soapbox on this for now, but it bugs me that this is true). Most of the major fees (e.g., underwriting, tax, recording, title, etc.) can be matched, but each lender always seems to have one-or-two that others don't.

It's easy to get wrapped-around-the-axle by trying to vet each fee. What worked for me was...

  1.  Look at total cost (excluding pre-paid tax or impounds).
  2.  Review the core fees (see above).
  3.  Ask to have anything you don't understand explained.

This makes the process much easier.
  • May 07 2009
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Keep in mind that if you are refinancing, you will not need a survey.  If you are purchasing, it is a good idea and will most likely be required.
  • May 07 2009
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Don't concern yourself with how much individual fees are.  Compare the total costs regardless of what the fees are called and the rates.  Higher fees should translate into lower rates.
  • May 06 2009
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