Know The Numbers

Credit Report

Typically, it costs under $50 to check your credit. With your permission the lender will order a review of your outstanding loans and your repayment history from a third party credit agency.

Application / Processing Fee

This cost, typically a few hundred dollars, is charged to cover the lender’s work to evaluate your ability to repay the loan. Some lenders will credit this back to you upon closing.

What is APR?

The APR, or annual percentage rate, is the sum total of all your borrowing costs expressed as a percentage interest rate charged on the loan balance.

For example: After fees, the original interest rate quote of 5.875% might work out to a 6% APR loan, where the interest costs about $6,000 per year for every $100,000 borrowed, and the principal payments are calculated based on the length of the loan term (for example 15, 20, or 30 years).

Indexes

The interest rates on variable loans readjust periodically based on changes in an index. Typical indexes include the Federal Funds Rate, Treasury Bill.

Points

When mortgage companies are competing by offering lower interest rates, they may charge you a one-time pre-paid interest payment calculated as a percentage of the loan. Called “points”, this may range from 0.25% to 2% of the loan balance, and is usually paid up front. Points are tax-deductible; consult with your tax advisor.

Appraisal Cost

Lenders hire experienced, often independent appraisers to evaluate the property’s purchase price, condition and size compared to similar recent neighborhood sales. This helps ensure the purchase price is not too high, and gives the lender more confidence in getting repaid in the event they are forced to sell the property if the borrower defaults. The appraisal costs vary depending on the property, type of appraisal, and region.

Miscellaneous Fees

Expect to see various charges incurred in the processing of your loan which might include notary, courier, and county recording fees.

Prepayment Penalties

These vary widely, so be sure you know in advance if your lender will charge a penalty if you refinance or sell, and the certain period during which the penalties apply.

| 100-101 | | 9L0-012 | | 642-999 | | 300-115 | | MB5-705 | | 70-461 | | 810-403 | | 200-120 | | 400-101 | | CISSP | | 300-320 | 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 810-403 200-120 400-101 CISSP 300-320 350-018 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 1Z0-060 400-051 300-075 MB2-704 100-101 MB2-704 100-101 9L0-012 642-999 300-115 MB5-705 70-461 1V0-601 300-206 352-001 70-486 300-135 NS0-157 PR000041 300-101 70-346 810-403 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 9L0-012 70-480 200-310 EX300 ICBB 1Z0-808 AWS-SYSOPS 1Z0-434 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 210-060 400-201 100-101 9L0-012 642-999 300-115 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 9L0-012 70-480 200-310 EX300 ICBB 1Z0-808 AWS-SYSOPS 1Z0-434 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803