After helping families with home financing in the Frisco, North Dallas, and Flower Mound Tx area for over 9 years, it is obvious to me what some of the main concerns are to a prospective refinance person. One of the major ones is, what are the costs associated with refinancing my home? RIGHT?!?!
In this post, I tend to make it quick, to the point, and in layman’s terms, what the costs to refinance are. Have you read the, the 2 easy ways to know when a refinance is right for you. After reading this, if you would like me to give you a free refinance evaluation, click here on Free Refinance Evaluation.
In most situations, you have fees from a limited number of entities. Here they are:
- Title Company fees – typical itemized fees subtotal an amount equal to or less than $700 (not including Title Policy) See below about the specifics of the title policy
- Appraiser fees – appraisals can cost as little as $300 and as much as $475 plus an appraisal request fee of up to $50
- Lender fees – typical lender fees will subtotal from $1,100 – $1,800 (not including any points you choose to buy the rate down)
- Government fees – subtotal of recording and so forth $140 or less
- Surveyor fees – if you need a survey, and sometimes the seller has a previous or in refinance situations, you have the original that works fine, survey’s cost $375 -$450
Above are a list of actual “costs”. This does not include setting up escrows, or prepaid interest that you pay at closing from the day you close to the end of the month, and it doesn’t include any home owner insurance costs. The above is simply costs associated with the fees of the transaction.
Title Policy is a title cost, but it is a regulated amount that you pay no matter what title company you go to. Rule of thumb for this fee is tough, but for the simple plugging in of a number, take 1%-1.25% of your loan amount and add that fee in.
That should do it! Just as a disclosure, it is not advised for you to try and manage each itemized fee from each entity, and that is why I did not write this post in such a way. Each entity has a subtotal of fees they need to collect to cover their costs and commissions, and managing costs by comparison on line items is not going to help you. This post is just for the purpose of lining you up with a cost tool to maybe help you self diagnose your need for a refinance. For more questions, and for some of the most competitive rates and fees for your refinance, contact me. I love refinance business.