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Guest

I contacted a Loan Officer and he needed the following information:

Property Location, Loan Amount, Loan Purpose, Property Type, Occupancy, Doc Type, Mid Fico Score, LTV%, Appraised Value, Purchase Price, PPP, and Impounds.

Would I be able to receive a GFE from the information above?

Is it mandatory to submit a 1003 form to receive a GFE?

I know a 1003 can provide the Loan Officer a better accurate estimate. I do not want to fill out a long form as of yet.

Thank you!!

GFE

jameshogg

Hi Guest,

Welcome to the forums.

The GFE gives you an estimate of the down payment, closing costs and prepaid expenses required to be paid at closing. It is usually supplied to borrowers within 3 days of applying for the loan.

The loan officer may be calculating the costs on the basis of some of the above factors and hence he has asked for the information.

It's mandatory to submit the form 1003 because that is the loan application form for residential mortgages and until and unless you apply, the loan officer will not send you the GFE.

Thanks,
James.

Guest

So you are saying a 1003 is MANDATORY to submit to receive a GFE. Without the 1003 ANY lender will not provide the GFE?

adonis · Posted: Sun Jan 28, 2007 8:27 pm Post subject:

Yeah, the 1003 form is mandatory as you submit your loan application by filing up this form.

wablola · Posted: Tue Feb 13, 2007 7:44 pm Post subject:

The Good Faith Estimate is a required Disclosure, as stipulated by the Real Estate Settlement Procedures Act (RESPA) - which was enacted by Congress in 1974. The GFE is to be prepared and sent to your borrwing customers within 3 days after you have met with them to complete an application (1003) or received a completed 1003 in the mail from your customers. And, this rule also applies if you completed a loan application over the telephone.

Guest

I just talked to a bank and they said that if I don't go with them after they provide a GFE, I would be responsible for paying fees that range from $1000 to $7000 in closing costs. Is that true? What is the purpose of getting a GFE if it costs this much to get one? How are you supposed to shop for mortgages if just getting an estimate cost this much?

rachard1583 · Joined: 18 Oct 2010 Posts: 18 4.15 Dollars($)

One quick note - you will find that lenders are reluctant to provide you with a GFE; prior to locking your loan and having it fully processed and approved. This may seem contrary to the purpose of GFE 2010. The reason is that lenders must "eat" any increase in loan fees from the GFE, something they are not willing to do, nor should borrowers expect lenders to do.

jburke · Posted: Tue Oct 19, 2010 9:14 am Post subject:

Hi Guest,

As of January 1st, 2010 a lender must issue the new "binding" GFE within 3 days of loan application. HUD has established a list of the criteria that constitutes a mortgage application.
Here is that list.

1. Borrower’s name
2. Borrower’s SSN - which means pulling a credit report
3. Borrower’s gross monthly income
4. Subject property address
5. Estimated subject property value
6. Amount of mortgage loan sought

What this means is this, unless you furnish a lender with all of the required information, the lender is not obligated to provide you with anything. Once the lender issues the 2010 GFE they are bound to the fees disclosed and if they under disclose something they have to pay the difference. The bottom line here is lenders need this information in order to accurately disclose your closing costs.

This does not mean that a lender can not give an estimate of the closing costs in a different format which would be an Initial Fees Work Sheet.

Property State:
Property Type:
Credit Rating:

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