Zillow Advice: Mortgage - Origination Charge and Adjusted charge http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ Zillow Advice | Zillow Real Estate I'd shop a bit if I were ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ I'd shop a bit if I were you. Thu, 22 Nov 2012 04:49:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-22T04:49:00Z It's a 30 year fixed conforming ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ It's a 30 year fixed conforming loan. Not FHA. Even though the document stated 3%, but the letter from the bank stated about 7k. which is about 2% of the loan. Thu, 22 Nov 2012 03:06:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-22T03:06:00Z Just curious, is this an ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ Just curious, is this an FHA mortgage? Wed, 21 Nov 2012 21:54:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T21:54:00Z As Go Huskers stated your ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ As Go Huskers stated your broker's comp plan is 3%, so he is pigging out.<br/><br/><br/>If his comp plan was 1% or 1.5% or&nbsp;2% your rate by definition will be lower or your lender credit higher. Wed, 21 Nov 2012 15:32:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T15:32:00Z "Thanks. BTW, how did you ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ "Thanks. BTW, how did you get the calculation of lender credit of $16,980. Is there a formula for it?<br/>----<br/>You said that the&nbsp;credit&nbsp;was 10,500. If the lender was taking less of an origination in their compensation plan, the credit would be more. In my example it would be 2 points more. ($6480 assuming a $324,000 loan amount)<br/><br/>While a 300 adjusted origination is fine, there is more to the story than that.&nbsp;<br/> Wed, 21 Nov 2012 09:54:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T09:54:00Z &nbsp;The adjustment for ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ &nbsp;The adjustment for a 2 family home is 1 point (LLPA); you can do a search here on Zillow for rates. You can pay the point or take a rate about 0.25% higher to absorb the cost.<br/><br/>The search won't have a selection for 2 units, however just add 1 point to any of the quotes you receive to get to an accurate quote. Wed, 21 Nov 2012 04:12:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T04:12:00Z Thanks Go Huskers. The rate ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ Thanks Go Huskers. The rate is 3.5 % for 30 yr fixed for two family house. I was initially quoted 3.25 % for one family and was told that two family house would be higher. Do you think i can do better than 3.5%. Thanks. BTW, how did you get the calculation of lender credit of $16,980. Is there a formula for it? Wed, 21 Nov 2012 04:07:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T04:07:00Z You are still paying that ... http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ You are still paying that 3% indirectly. If you found a broker with a lower compensation plan, you would save money. The 3% that they are getting paid is causing you to have a higher rate than if they had a 1.% compensation plan.&nbsp;<br/><br/>Example. On a loan amount of $324000, if the lender had a 1% compensation plan you would have an origination fee of $3240 and a lender credit of $16,980. Your adjusted origination would be -13,740. This is obviously too much of a credit so the end result is that you would get a lower rate than whatever it is you are being offered.<br/><br/>Just looking at the adjusted origination fee is not sufficient if you are not comparing rates. I can tell you that whatever rate you have been offered is too high and you can do better. Wed, 21 Nov 2012 03:51:00 GMT http://www.zillow.com/advice-thread/Origination-Charge-and-Adjusted-charge/469117/ 2012-11-21T03:51:00Z