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Closing costs on refi- seems high

Hi all,
We're currently negotiating with our lender and from a previous offer to this current one the closing costs increased by $1K.
The fees that I'm curious about and seem high to me are:
Processing fee $575
Settlement/closing $500
Lenders Title Policy $953.  (thinking since it's only been three years since we bought the house, we could request a "re-issue" cost instead.

This is the state of Virginia.  Are these high?  Negotiable?  Thanks.
  • August 23 2013 - US
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Answers (9)

Profile picture for cassandraevers
Many title companies (in my area) will do a refi for $99-call around for sure!
  • August 23 2013
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Profile picture for Brent Tye
You should call a few lenders and ask for loan quotes.  Nothing wrong with comparing a few lenders
  • August 23 2013
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First American Title is nationwide as far as I know.  You would have to search online to find out for sure if they also offer title in Virginia.

Get a few quotes to make sure you are getting the best deal. Find loan officer/mortgage broker using the "Find a Pro" link at the top of this page and search by your city or metro area.  Call a few of the loan officers listed with good ratings to see if they will give you a quick quote.
  • August 23 2013
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Profile picture for around the block
Thank you Jared.  I have a call with the lender in about 20 minutes so I will ask why and where the $1K difference.  I did see that he waived the origination 1%, but the overall discount that we received is lower now too.
The processing fee was not disclosed before now.
I'll shop around for title companies then.  Is First American Title available for all states?  Can I use them for Virginia?  Thanks.
  • August 23 2013
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Talk to the loan officer and find out why the loan fees increased $1000.  Is the cost increasing to keep the rate lower via discount points?

The processing fee is a lender fee and could possibly be negotiated depending. Was the processing fee disclosed to you previously or has it just been added?

The settlement/closing fee and the lender title policy fee are not the lenders fees, they are title company fees.  Different title companies have different fees, so you make be able to shop title companies and find one offering lower fees for your loan size.  Most lenders can use any title company they choose.  I personally prefer First American Title because their refinance fees are really low.

I hope this helps.
  • August 23 2013
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Profile picture for around the block
Total cost at closing would be around $4K, with a $500 credit bringing it down to $3,500.  We were quoted a highest interest rate before but with a $2,500 closing...
  • August 23 2013
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What is the total cost of the refinance? 

  • August 23 2013
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Profile picture for around the block
It's a long story with this lender (if you're interested I posted in the Refi board) so we're done shopping around.  Each proposal they give us seems about the same in the end just how they're getting there.  I'm trying to know what's negotiable and what's not.  Are the ones I wrote above negotiable?  Do they seem high for this state?
Thanks.
  • August 23 2013
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You can shop lenders and ask each for its fee sheet.
  • August 23 2013
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