How to Find Mortgage Closing Costs of Banks
Every mortgage lender is required by law to give each borrower a copy of the good faith estimate associated with a mortgage loan. The borrower can use the statement to find all of the closing costs associated with the loan. A borrower can get a good faith estimate from several different banks to compare offers and find the cheapest option. Make sure to compare identical loan amounts and terms from each lender to get the most accurate comparison.
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Instructions
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Ask three different lenders or banks for mortgage quotes. Make sure each lender gives you a good faith estimate.
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Note the terms and loan amount in the first section of the document. Make sure each lender's terms and loan amounts are identical to ensure you are making an accurate comparison.
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Look at the last section on the first page and note the summary of the settlement charges. This is the total of all closing costs associated with the loan. This is how you can find the cheapest closing cost option.
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4
Comb through the second page, which outlines which fees are associated with which part of the closing process. A few of the fees are negotiable or have several options for shopping around. Attempt to negotiate lower fees with your lender and shop around for services to find the cheapest price.
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Tips & Warnings
Use the third page of the good faith estimate to compare each lender's terms and fees to help you find the cheapest mortgage.
Keep your original good faith estimate. A second one will be given to you at closing. Compare the two estimates to ensure that there are no unexpected changes in fees.
