Real estate closing costs for the buyer which ones are necessary or NOT?

Question

Loan origination fee, appraisal fee,credit report, Mort. broker fee, tax related service fee, wire transfer fee, doc. prep fee, attorney fee, title ins global title, title search, endorsements, title exam, Gov't recording fee, courier fee, and another title exam.
I know some of these are needed listed all in case they are duplicated. Delaware transactions. Thanks for your help.

Answer 1

All....also include prorated real estate taxes & prepaid insurance

Answer 2

1.) origination fee-lender's fee, not always necessary. Broker may have give you a really low rate, so they have to charge this to make $ on the deal
2.) appraisal fee-needed. Someone has to pay for the appraisal
3.) Credit report-needed. Credit reports can be pricey
4.) Mort. broker fee-lender's fee, not always necessary. See origination fee
5.) Tax related service fee-title company charge. Junk, but they all charge it
6.) Wire transer fee-needed. this pays for the wiring of the funds
7.) Doc Prep fee-junk
8.) attorney fee-only needed if you are having an attorney review the docs prior to closing
9.) title Insurance-required.
10.) Title Search-required
11.) Endoresements - no idea
12.) Title Exam-junk, but all title companies charge it
13.) Gov't. recordeing fee- needed. Pays for the recording of your deed into county records
14.) Courier fee-needed. Pays for the overnighting of docs
15.) Another title exam-no idea...

Basically, the origination fee, broker fee, document prep fee are junk fees from your broker. But again, they have to make their money somehow and are maybe giving you an interest rate that doesn't pay them any money.

Hope this helps!

Answer 3

sometimes it is possible to agree on a price... then later raise the price by 3% and ask the seller to pay the closing costs. Usually the seller agrees because they will still get the same amount of money they originally would. Talk to your real estate agent about doing this.

Answer 4

HUD has a booklet that will walk you through the settlement process, including fees charged. It is easy to read. Your lender is required, by law, to provide this book to you within three days of application. You can also find it on the HUD web site, www.hud.gov. Or use this link: http://www.hud.gov/buying/index.cfm.

The information will be more accurate, complete, and easier to read than any answer we can give you here.

Good luck.