How to estimate Closing Costs

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.

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

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

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

3rd 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