What are the fees associated with a mortgage?

When applying for a mortgage in Virginia, there are certain fees associated with the process. These fees can vary depending on the lender and type of loan you are applying for. Common fees include an origination fee, appraisal fee, inspection fee, points, processing fee, and underwriting fee. The origination fee is a fee charged by the lender for setting up the loan. This fee is typically a percentage of the loan amount, and can range from 0.5%-2.5% depending on the lender. The appraisal fee covers the cost of having an appraiser evaluate the property to ensure it is worth the amount of the loan. The inspection fee covers the cost of having the property inspected for safety and structural integrity. Points are fees paid to the lender for reducing the interest rate, and can range from 0.1%-2.5% of the loan amount. The processing fee is an administrative fee charged for processing the loan documents. The underwriting fee is charged for the lender to review the loan documents to approve or deny the loan. These fees vary depending on the lender and the loan type and can range from a few hundred dollars to a few thousand dollars. Before signing any loan agreements it is important to review the terms and fees associated with the loan to ensure you understand them.

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What are the fees associated with a mortgage?

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