Closing Costs & Fees

When you close your loan, you will sign your paperwork and pay any required fees. For a home purchase, you will collect the keys to your new home. The mortgage fees you need to pay at closing will be included in the Loan Estimate (which you receive after application) and the Closing Disclosure (which you receive before closing). They are the disclosures implemented under the TRID rule.

Typical mortgage costs & fees that may be associated with your mortgage:

Cost to have an independent appraiser estimate the property's value.

Charged by third party
Fees for preparing deeds, mortgages, settlement and similar documents.

Charged by attorney
This fee is typically paid to the title company or attorney for conducting the closing.

Charged by closing agent or attorney
Fee to obtain your credit report.

Charged by credit reporting agency
Amount charged to reduce the interest rate on a loan. Typically paid at closing and generally calculated to be a percentage of the total loan amount.

Charged by lender
Fee to prepare the documents required to close a loan.

Charged by lender or a title company
Cost to have the servicer of your loan track any changes that may occur to your property's flood zone status over the life of your loan.

Charged by third party
Cost for a flood determination company to tell your lender whether your house is located in a flood zone.

Charged by third party
Cost of inspections to determine (1) the quality, soundness and safety of the structure and mechanical systems and (2) evidence of wood destroying insects.

Charged by third party
Prepayment for 1st year of home insurance, which is required to cover the property if it is damaged or destroyed.

Charged by third party
Fee for insurance to protect the lender against any claims arising from disputes about ownership of, or liens against, the property.

Charged by title company
Administrative fees for preparing, submitting and evaluating a loan application.

Charged by lender
Fee for insurance to protect the buyer against any claims arising from disputes about ownership of, or liens against, the property. (Optional)

Charged by third party
Interest you pay on your loan from the day you close to the date of your first scheduled mortgage payment.

Charged by lender
A monthly fee you may incur if you make less than a 20% down payment on your loan. PMI protects the lender if you default.

Charged by insurance company
These include school, municipal and/or other taxes required by the government. Taxes can be paid through the lender with funds the borrower accumulates in an escrow account or the borrower may be able to pay them directly in full on their due date.

Charged by government
County clerk's fee to record the deed, mortgage and other documents, if any.

Charged by local government
Tax charged by state or local governments for the sale of real estate.

Charged by government
Covers the cost of a property survey to define the property's size and boundaries. The survey also determines whether there are any easements or encroachments that might affect the legal title.

Charged by third party
Fee paid to your loan servicer to set up and service your escrow account.

Charged by loan servicer
State and/or local government-imposed tax on the sale or transfer or real property.

Charged by government

Mortgage 101

TRID is an acronym for TILA (Truth in Lending Act) RESPA (Real Estate Settlement Procedures Act) Integrated Disclosure. The Consumer Financial Protection Bureau issued a rule under TRID that integrated TILA and RESPA mortgage loan disclosures into two new forms: the Loan Estimate and the Closing Disclosure.