Real Estate Loan Alert!
I'll be the first to tell you that some lenders are in fact, charging fees to apply for a loan.
How Much?
$325. to $495. depending what market and bank lender.
Do you have to pay it up front?
Yes, if you want to do business with that bank.
Is it refundable?
No, the fee is for working on your loan application which most mortgage brokers will do for free. They will do the same thing for nothing up front except hope they earn your business and close a loan through them.
I think the banks are tired of the ditch and run when consumers are in the hunt for the best deal and the banks are charging up front so you'll close the loan with them.
So don't be surprised if you come across an hefty application fee from a bank. Just remember there are plenty of mortgage lenders out there that won't. Just another nickel and dime tactic! As always Buyer beware!
