Below are lists of commonly requested information you should expect to provide when you apply for your loan. You may be asked for additional documentation, depending on your situation.
Preapproval borrowers can supply this information after they sign the purchase contract.
The Good Faith Estimate (GFE) is a document your lender will send you that shows your estimated closing costs. Your GFE will be mailed to you within 3 business days after you apply for a loan, as required by the Real Estate Settlement Procedures Act (RESPA).
Your GFE contains, among other items, important dates related to your loan application, escrow account information, and an itemized list of all the estimated loan and settlement charges (or closing costs).
The GFE also includes a chart to compare GFEs from other lenders so you can shop for the right loan for you.
Your GFE is both an estimate of how much money you'll need to bring to closing and a great mortgage shopping tool. Closing costs can vary by lender, so it's wise to compare GFEs from at least two different lenders. Review your GFE and ask your lender about anything you don't understand.
Remember; your GFE is only an estimate. Your final closing costs may be higher or lower than your GFE, depending on your loan program, terms and the interest rate at which you lock your loan.
So how will you know what you actually have to pay? That's all in your HUD- 1 statement.
The HUD-1 Settlement Statement lists your actual costs and fees due at closing. You will receive your HUD-1 at least one business day before your closing date.
Your HUD-1 lists every fee associated with closing your loan. It also includes a chart you can use to compare certain fees in your Good Faith Estimate with the actual closing costs in your HUD-1.
Your HUD-1 is like a receipt of your mortgage loan transaction. Be sure to check your GFE against your HUD-1 and ask your lender about any discrepancies.
When you close your loan, you will sign your paperwork, pay any required fees and collect the keys to your new home.
The mortgage fees you need to pay at closing will be included in your Good Faith Estimate. These fees, also called settlement or closing costs, include the costs to approve the loan, fees to transfer the property's ownership and state and local taxes.
|Fee||What it's for||Charged by|
|Appraisal Fee||Cost to have an independent appraiser estimate the property's value.||Third party|
|Attorney fees||Fees for preparing deeds, mortgages, settlement and similar documents.||Attorney|
|Closing fee||This fee it typically paid to the title company or attorney for conducting the closing.||Closing agent or attorney|
|Credit report||Fee to obtain your credit report.||Credit reporting agency|
|Discount points||Amount charged to reduce the interest rate on a loan. Typically paid at closing and generally calculated to be equivalent to 1% of the total loan amount.||Lender|
|Document preparation fee||Fee to prepare the documents required to close a loan.||Lender or a Title company|
|Flood certification - life of loan||Cost to have your lender track any changes that may occur to your property's flood zone status over the life of your loan.||Third party|
|Flood determination fee||Cost for a flood determination company to tell your lender whether or not your house is located in a flood zone.||Third party|
|Home and pest inspection fees||Cost of inspections to determine (1) the quality, soundness and safety of the structure and mechanical systems and (2) evidence of wood destroying insects.||Third party|
|Homeowner's and hazard insurance fee||Prepayment for 1st year of home insurance, which is required to cover the property if it is damaged or destroyed.||Third party|
|Lender's title insurance||Fee for insurance to protect the lender against any claims arising from disputes about ownership of, or liens against, the property.||Title company|
|Origination Fee||Administrative fees for preparing, submitting and evaluating a loan application.||Lender|
|Owner's title insurance||Fee for insurance to protect the buyer against any claims arising from disputes about ownership of, or liens against, the property.||Third party|
|Prepaid interest||Interest you pay on your loan from the day you close to the date of your first scheduled mortgage payment.||Lender|
|Private mortgage insurance (PMI)||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.||Insurance company|
|Processing fee||Cost to process documents such as the loan application.||Lender|
|Property taxes||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 can pay them directly in full on their due date.||Government|
|Recording fees||County clerk's fee to record the deed, mortgage and other documents, if any.||Local Government|
|State tax/stamps||Tax charged by state or local governments for securing a loan for a property.||Government|
|Survey fee||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.||Third party|
|Tax service fee||Fee paid to your loan servicer to set up and service your escrow account.||Loan servicer|
|Transfer taxes||Cost to have an independent appraiser estimate the property's value.||Government|
|Underwriting fee||Fee to have an underwriter, or risk assessor, evaluate your loan application and determine if it is approved. At a minimum, the underwriter reviews your credit report, employment history, financial documents and appraisal.||Lender|
We suggest contacting a tax professional for more information on the taxes you could owe if a portion of your loan is written off. You can also refer to the sections on "Foreclosures and Repossessions" and "Abandonments" in the IRS Publication 544, "Sales and Other Dispositions of Assets."
If you are behind on payments, or having difficulty making your payments, you may qualify for a loan modification through Ocwen's Loan Modification program. If your loan is serviced by Ocwen on behalf of other investors some of these options may not be available.
Please note: It's important to talk with a tax advisor about taxes you may owe from an Ocwen Loan Modification program.
Give us a call to discuss your options.
Mon through Fri from 6 am to 10 pm CT or Sat from 8 am to 2 pm CT
Or call 1-800-CALL-FHA to find a HUD-certified housing counseling agency.
If you are having problems getting the homeowner assistance you need, please contact our Executive Escalation Team at 1-866-924-8409, Mon – Fri from 8 am to 5 pm CT, or email firstname.lastname@example.org. We will respond to your request within 3-business days.
Please continue to make your mortgage payments while we work together on a solution. The further behind you fall on your payments, the fewer options may be available to help you get back on track.
We will report your loan as modified to the credit agencies to show them that you successfully completed the loan modification. Before making this decision, we recommend consulting your tax advisor.
All modifications require an escrow account for the payment of taxes and insurance. If your loan does not currently include an escrow account for the payment of taxes and insurance, one will be added.
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