How to estimate Closing Costs

https://www.youtube.com/watch?v=hQ5SRwl1Hno

ALL FEES APPROXIMATE

(Remember: Cranbrook, Lender, Vendor and summarize all fees in one of these 3 categories)

Broker fee/charges (commissionable fees)

1. Loan Origination/Lender Paid Compensation – 2.75%
2. Application Fees

 

Fees – Source: Cranbrook Processing Department (Form327Pro)

1. Processing Fee – from $0 to $699 includes all fees
2. VOR, VOD, VOE fees charged by vendor
3. Credit reports, other additional services, etc

 

Lender Fees – Source: Lender who will be funding the loan

1. Underwriting Fee.  Lender specific.  See Addendum in package preparation training.
2. Funding Fee
3. Tax Service Fee
4. Admin Fee
5. Flood Cert
6. Document Prep Fee
7. Redraw Fee
8. Other Fees may be charged by the lender such as Discount Fee, etc

 

Lender Fees and GFE Quirks: CALIBER: 

Underwriting fee:  $999, Tax Serv: $ 93.89, Flood: $ 10.65, MERS: $11.95 (1115.49 Total)

 

Title Fees – Source:  Title Company who will be closing or https://costsfirst.com/ register account.

1. Title Settlement Fee (estimate. Refi $250 and Purchase $550) (varies by state)
2. Miscellaneous Title Fees
3. Wire Fees
4. Abstracting Fees
5. Title Insurance – VARIABLE fee based on loan amount, type of transaction and

location of property. Use Title Calculator.  Request Rate Calculator in Excel.

4. Recording Fees – VARIABLE fee determined by locations of property and amount

how many pages to record and taxes required.  Typically $130.00

5. Tax Stamps.  – VARIABLE by state. Some States charge for Refi and all for purchase.

3^rd Party Fees/Misc. – Source: Provider of Service

1. Appraisal Fees Approx. Conv. $450, FHA $500. (Use 500 for fast estimate)
2. Inspection Fees (IF Construction Loan) ($50 per)
3. Structural Engineering/Foundation Inspection (IF Manufactured Home FHA)
4. Pest Inspection (If required by FHA) ($65+)
5. Survey Fees if Required ($95 – $250+)
6. Realtor Compliance Fees (0-$400) For Purchase only.

Closing Cost Estimate for $200,000 Refinance MI. Includes $0 Credits given to customer.     

ITEM		Cost to customer
Broker fee/charges (commissionable fees)	Variable by loan	0
Processing Fees	Fixed
Lender Fees – Example Caliber	Fixed	$1116
Title Fees – Closing Fee	Refi/Purchase – State	$200
Title Fees – Title Insurance (200k Example)	Variable	$500
Recording	Variable by state	$130
Appraisal Fee	Variable by lender	$500
Total Estimate for 200k Example		$2446
Less Credit Provided
Total Cost to Customer=

 

The following charts give a guideline for the number of months to escrow for taxes and insurance.
Months of Homeowners that will be collected at closing for escrows. (This is an estimate! Contact lender for specific)
HOMEOWNERS INSURANCE ESCROW DETERMINATOR
1st Payment Due	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Insurance Due
JANUARY	1	2	3	4	5	6	7	8	9	10	11	12
FEBRUARY	12	1	2	3	4	5	6	7	8	9	10	11
MARCH	11	12	1	2	3	4	5	6	7	8	9	10
APRIL	10	11	12	1	2	3	4	5	6	7	8	9
MAY	9	10	11	12	1	2	3	4	5	6	7	8
JUNE	8	9	10	11	12	1	2	3	4	5	6	7
JULY	7	8	9	10	11	12	1	2	3	4	5	6
AUGUST	6	7	8	9	10	11	12	1	2	3	4	5
SEPTEMBER	5	6	7	8	9	10	11	12	1	2	3	4
OCTOBER	4	5	6	7	8	9	10	11	12	1	2	3
NOVEMBER	3	4	5	6	7	8	9	10	11	12	1	2
DECEMBER	2	3	4	5	6	7	8	9	10	11	12	1
REAL ESTATE TAX ESCROW DETERMINATOR
CLOSE DATE	1ST PAYMENT			SUMMER			WINTER
				CITY			COUNTY
JANUARY	MARCH			8			3
FEBRUARY	APRIL			9			4
MARCH	MAY			10			5
APRIL	JUNE			11			6
MAY	JULY			12			7
JUNE	AUGUST			13			8
JULY	SEPTEMBER			2			9
AUGUST	OCTOBER			3			10
SEPTEMBER	NOVEMBER			4			11
OCTOBER	DECEMBER			5			12
NOVEMBER	JANUARY			6			13
DECEMBER	FEBRUARY			7			2

 

Use this calculation:  Ho Ins Determinator Months x Monthly Home owners insurance + summer tax months x summer tax amount + winter tax months x winter tax amount + 2 month cushion (monthly summer and winter tax and home owners x 2).

CURRENT TAXES DUE MUST BE PAID IN ADDITION TO MONTHS ESCROWS