Home arrow Mortgage Forums arrow Forums: Learn from other's experiences arrow

FHA Closing Costs

Author Message
Gabe

Guest







Post Posted: Tue Mar 18, 2008 4:06 am    Post subject: FHA Closing Costs
Like 0
Dislike 0

Are FHA closing costs fixed? Are closing costs normally prepaid or rolled into the loan?
Icon Mini Profile sara
sara
Moderator



Joined: 05 Jul 2006

Posts: 2645
Location: New Brunswick, New Jersey
488.43 Dollars($)
Post Posted: Tue Mar 18, 2008 4:38 am    Post subject: RE: FHA loan closing costs
Like 0
Dislike 0

Hi Gabe,

The closing costs in general range from 3-6% of the loan amount. For FHA loans, it's around the same percentage, though it allows for seller concessions.

The closing costs can be rolled into the loan. But it will require you to pay a slightly higher rate compared to what you can get if you pay the closing costs yourself. Regarding prepaids, there are certain items which require to be paid prior to closing.

Take Care
Icon Mini Profile gmakerley
gmakerley
Community Mentor
Community Mentor

best lender badge

Joined: 09 Nov 2007

Posts: 12330
Location: bloomfield, ct
50.03 Dollars($)
Post Posted: Tue Mar 18, 2008 6:34 am    Post subject:
Like 0
Dislike 0

there are some fees that are charged on conforming loans that are not allowed on fha loans.
_________________
George M. Akerley
Independent Contractor - Mortgage Consultant
Word of Excellence Editing/Writing/Proofreading
860-221-5044
Icon Mini Profile banker0679

Community Expert
Community Expert

best lender badge

Joined: 15 Nov 2007

Posts: 452
Location: Charlotte, North Carolina
19.27 Dollars($)
Post Posted: Tue Mar 18, 2008 9:01 am    Post subject:
Like 0
Dislike 0

On a FHA refinance you can roll everything into the loan, and go up to 97.75% LTV Rate/term. If you're taking out cash then it's up to 95%.
The closing costs are calculated in this percentage.

There is a FHA funding fee 1.5% that is charged on all 30yr fixed fha mortgages. On a purchase you can roll it into the loan. With a purchase you will need the seller to pay all of your closing costs. This is how closing costs are 'rolled in' with a purchase transaction.

Most FHA lenders also charge a 1% origination fee, but not 'discount points'. If they do charge the discount point, then make sure you're receiving a really low rate. You may pay processing, underwriting, tax cert, flood cert, and other fees on the lender portion for FHA mortgages.

The fees aren't fixed, and they are negotiable.

_________________
there's always hope!

"My credit score shot up 68 points!"
Icon Mini Profile banker0679

Community Expert
Community Expert

best lender badge

Joined: 15 Nov 2007

Posts: 452
Location: Charlotte, North Carolina
19.27 Dollars($)
Post Posted: Tue Mar 18, 2008 9:02 am    Post subject:
Like 0
Dislike 0

to clarify - the fha funding fee 1.5% is fixed.....that is not negotiable as it is mandatory per FHA
_________________
there's always hope!

"My credit score shot up 68 points!"
Icon Mini Profile dilipgagare





Joined: 26 Mar 2009

Posts: 58

0.01 Dollars($)
Post Posted: Thu Apr 16, 2009 6:47 am    Post subject:
Like 0
Dislike 0

Hi,
FHA closing costs is not fixed.There is some fees limit so oit is good to new home buyers.In FHA Loan there are some section that you should be understand.

As per your question , closing cost can be rolled back but it has other rule try to gather information from expert.

Regards
Dilip
Icon Mini Profile gmakerley
gmakerley
Community Mentor
Community Mentor

best lender badge

Joined: 09 Nov 2007

Posts: 12330
Location: bloomfield, ct
50.03 Dollars($)
Post Posted: Thu Apr 16, 2009 7:22 am    Post subject:
Like 0
Dislike 0

dilip, the previous post is from more than a year ago. your post not only adds nothing to the previous discussion, but it makes little (if any) sense. please be aware of this in the future. your posts ought to be timely and have relevance. please try to stay on point.
_________________
George M. Akerley
Independent Contractor - Mortgage Consultant
Word of Excellence Editing/Writing/Proofreading
860-221-5044
Dee

Guest







Post Posted: Thu Feb 18, 2010 11:52 am    Post subject: FHA prepaids
Like 0
Dislike 0

can prepaids be added into the loan
or can a seller concession pay for them
Icon Mini Profile gmakerley
gmakerley
Community Mentor
Community Mentor

best lender badge

Joined: 09 Nov 2007

Posts: 12330
Location: bloomfield, ct
50.03 Dollars($)
Post Posted: Fri Feb 19, 2010 12:01 pm    Post subject:
Like 0
Dislike 0

you can't add prepaids to a loan unless it's a refinance transaction; it's impossible on a purchase. sellers can help with prepaids, yes.
_________________
George M. Akerley
Independent Contractor - Mortgage Consultant
Word of Excellence Editing/Writing/Proofreading
860-221-5044
MikeP

Guest







Post Posted: Wed Jul 21, 2010 4:37 pm    Post subject: FHA Funding Fee
Like 0
Dislike 0

My bank is charging $3211 on a $145,000 mortgage. This is much higher than the 1.5% you've been talking about. Why?
Quick Reply
Your Name
Subject
Image Verification


Can't read the image? click here to refresh
Message body

All times are GMT - 7 Hours
Page 1 of 1

 
Highlights
Bookmark this page
Share |

Helpful References
Mortgage Guide
Mortgage Terms
Mortgage News
Book Center
Shop and Compare lenders
30 Yr. Fixed Vs. 5/1 ARM


Calculators     [View all]
Are you eligible for loan?
How much you can afford?
Calculate monthly payment
Calculate APR


Financial Tools
Credit Repair Tool New
Mortgage Planner
Simple Budgeting Tool


Our Community
MortgageFit Blog
Community Professionals
Community Rewards
Introduce yourself
Website tools


Community Rewards
Five simple ways to earn money with the Mortgage Community.

MortgageFit on Twitter

Followers (265)








Community Chat

We have chosen to apply the Creative Commons Attribution License to all works we publish. This work is licensed under cc by 2.0
Page loaded in 21.116 seconds.