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Looking into a Harp loan in Florida. Origination fee seems high.

Just got may application package for a Harp loan. Loan amount is just under $200,000. Origination fee is 3.5% plus $325. Seems awfully high. Processing fee $1300-ish. Are these fees in the normal range for this program???Cash to close is negligible. Lender has bundled these fees, and escrows into a higher rate and/or added them to the mortgage balance. Between fees and escrows, I'll be adding about $9000 to the balance, and accepting a rate of about 4.5% Will lower my payment by about $300 per month. Are there better deals, or are these fees about average for this program??? by glagra_215_810 from Land O Lakes, Florida. May 25th 2012 Reply


William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,726 contributions

Ok... So you doing a loan through a broker who is using an end investor for your financing.. Under the current laws, the Broker has to disclose all fees he collects... he cannot hide anything... if you used a banker/broker, they don't and won't disclose all the fees they collect, because they don't have to... , so it will appear that they are giving you a better deal... so don't be fooled by that... Under HARP 2.0, you cannot finance more than the lesser of 4% up to $5000 in costs.. So your loan cannot go up $9000... It's maxed out at $5000.. do you see anywhere on your quote a "Lender Credit"... any lender credits would offset any costs your paying... as far as the 3.5% being high... I would agree.. It does seem high, so you might want to shop around.. But call your Loan officer first and ask questions.. Some lenders will disclose the maximum you can be charged, without taking into consideration what you were actually quoted... Under the current laws, the broker can lower his costs without having to re disclose, but he cannot raise them without re disclosing, so this might be the situation... The best advice I can give you is to contact a LOCAL mortgage broker, not the local "Big" bank, and certainly not one of those 50 states internet lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

May 25th 2012
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Linda Wintersteen (Linda123)
#62 ranked lender in Arizona - 1,256 contributions

I can do your harp loan in FL.. i CHARGE $895 FOR processing ,and what ever your title fees are, and your escrows, all rolled in the loan. .. Are you a fannie or freddie loan?? Credit?? Your fees seem high, this loan is to help people get a better rate,and the only time is charge the borrower , if we have to buy down the rate.. You have to look at how long those fees from your lender will add how many more payments to the life of your loan.. email me at yourloanpartnerforlife@live.com or you can call me at 602-330-1598 linda

May 25th 2012
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Linda Burek (lburek)
#139 ranked lender in Florida - 25 contributions

Good Morning,I am so glad you wrote in to me. We don't charge points on our HARP loans. I can assure you that our costs will be much less. I would be glad to give you a 2nd opinion at no cost to you. With 25 years doing mortgages the majority of my business is repeat and referrral. If you would like to discuss this with me further please call me at 727-460-9418. I look forward to hearing back from you. Best regards, Linda Burek

May 25th 2012
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Stephen McWilliam (StephenMcWilliam)
#137 ranked lender in Florida - 45 contributions

We are located in Fort Lauderdale. Please send me the proposed GFE and/or worksheet and I can provide you with more specific information. On the surface it appears high but we would need additional facts. Fax 954-449-0283. Steve McWilliam, PH: 954-449-1767 SMcWilliam@FloridaStateMortgageGroup.com

May 25th 2012
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Jeff Dobbs (jdobbs)
#74 ranked lender in Texas - 11 contributions

HARP 2.0. We offer a No Closing Costs option. Zero Fees!Call me today...Jeff Dobbs 214-727-9281Gold Star Mortgage Financial Group A Florida Direct Lender NMLS# 3446

May 25th 2012
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Thanks to all who have responded so far. Let me be clear...I'm not concerned about how much cash I need to bring to closing. I know those costs can be added to the balance or paid for via higher interest rates. I'm looking for line item COST of origination and processing as shown on the good faith estimate.

May 25th 2012
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Audrey Lovell (AudreyCLovell)
#134 ranked lender in Florida - 3 contributions

It does seem high, however each case would need to be evaluated on a case-by-case basis. Please free to call to discuss further. 239-896-7265Audrey - Florida licensed loan officer

May 25th 2012
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Audrey Lovell (AudreyCLovell)
#134 ranked lender in Florida - 3 contributions

Also, we would need more info to give you a line item cost comparison.

May 25th 2012
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Bert Carpenter (BertCarpenter)
#37 ranked lender in Arizona - 1,823 contributions

Yep, $9,000 added to your loan balance doesn't just seem excessive, it IS excessive. If you are working with your current lender, that is part of the problem. Work with a local Mortage Banker/Broker. You should be looking at not more than 1 point on any owner occupied HARP loan, and they are also available with no points. You need to do some shopping. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ www.LoansA2z.com 888-889-9950

May 25th 2012
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J D (jjfsmithloans)
#604 ranked lender in California - 27 contributions

Contact us now for your financial solution; We are the right lenders capable of funding your account within 24 hours.mayfundsinc@live.com

May 26th 2012
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