The Various Fees Common with Mortgage RefinanceArticle Posted by Expert Author: Tony Caro on 04/08/2013
Refinancing a mortgage is commonly sought for the purpose of saving money. While you can definitely save money doing so, there are costs involved with the process. You might be a little annoyed at first once you actually discover the various fees for refinancing a mortgage but these fees are unavoidable. Closing can come with several costs including a loan origin fee (aka a pre-planning fee for the loan), an application fee, and legal costs. Mortgage insurance costs might also be weaved into the closing. You may also be required to cover home inspection and title search costs on the Philadelphia home mortgage refinance process as well. Points on the loan may be owed as well. Points refer to a nominal fee as low as 1% charged by the lender to cover the yield. To the chagrin of many, an early payment penalty may be charged on the loan which is certainly not something most people would prefer to pay but the initial contract requires. You need not worry about out of pocket expenses as all these fees may be included in the new mortgage.
If you are looking for online resources to help you make sense of the refinance process, check out The Refi Guide that addresses terminology and gives useful advice on how to proceed.
Article Posted In: Understanding the Refinance Process Refinance Home Mortgage