Good Faith Estimate of all Closing Costs in Mortgage Loan Applications

• Buyer & Lender Attorney Fees
• Mortgage application fees
• Property appraisal fees
• Mortgage broker's commissions
• Lender Inspection fee
• Underwriting fee
• Mortgage Insurance Premiums (charged if your down payment is less than 20% of the value of your home)
• Closing settlement fee
• Notary fees
• Title search fee
• Credit report inspection fees
• Interest charged from the day of mortgage settlement to the date of first payment
• Property taxes from the day of mortgage settlement to tax year end

Since closing costs take up about 3-5% of the mortgage loan's total value, you should wait until you receive a Good Faith Estimate of all closing costs, before signing the mortgage loan application. It's also smart to receive Good Faith Estimates from various debt lenders, then compare and choose the best one. Now you may not understand some of the closing fees listed above. We will try to describe a few.

Title Insurance

Title insurance checks for any liens (claims) put against the property you are just about to acquire as well as for any legal errors, fraud, forgery, divorce rulings & missing inheritances. You do not want to purchase a property against which a bank has put forth a lien now do you? This is why title insurance is very important. Title Insurance ensures that the buyer is protected against any of these misfortunes.

Here is a table of the type of closing fees charged, as well as their related amounts for a $50,000 loan, $100,000 loan as well as a $150,000 loan.