Are You a Mortgage Borrower? Flex Your Muscles!

Are You a Mortgage Borrower?

Flex Your Muscles!


     It's fairly common to see and hear advice provided about the importance of comparing Mortgage Lenders when looking to finance a home purchase or refinance.  Advice is also commonly given to conduct comparison shopping when it comes to Interest Rates too.  
   
     But it's important for Borrowers to know:
  They can "shop" other Fees charged within the financing of their home loan as well ...

     Here in Illinois:  The newly introduced "Loan Estimate” document clearly illustrates which Services/Fees applicants can and cannot shop for when financing a home.  Mortgage Lenders are obligated to provide this information to their Borrowers.

     So which Services fall under each category?

     Services that CAN be shopped:

  • Settlement Fee
  • Lender's Title Insurance -  Title
  • Attorney's Fee
  • Endorsements & Misc. - Title
  • Doc Fee - Title
  • Recording Services - Title
  • Wire Transfer - Title
  • Closing Protection Letter - Title


     Borrowers should be Aware:  Vast differences in Fees can exist between providers for these services ... as well as the level of the professional's expertise.  

     Gaining referrals and Fee quotes for these services is just as important as those sought for the services of Lenders or Agents.  

     Especially important, is seeking the advice and guidance of a Real Estate Attorney ... an attorney educated, knowledgeable, and active in current real estate transactions.  Not just any attorney will do.  
      
     Services that CAN'T be shopped:

  • Flood Certification
  •   Mortgage Insurance Premium
  •   Credit Report
  •   Appraisal Fee

     
     The above-mentioned services and their coordinating Fees ... along with the Lender's Origination, Processing, and Underwriting Fees ... equal the Total Loan Costs charged to Borrowers.  

     Taxes, applicable government fees, possible escrow fees, and other miscellaneous fees may round out the Total Closing Costs charged to a Borrower.

     Choices do exist for Illinois Borrowers.  It's important and wise that they take the time and flex their muscles when and where they can as it pertains to the choice of their professionals, as well as the Fees associated with their services ... 

 


   
*  Hoping to buy a home in the greater Chicagoland area?  Contact me today!  I'll put my 37 years of mortgage experience and expertise hard to work on your behalf.
     I can be easily found at:

Gene Mundt

 Mortgage Lender  -  NMLS #216987  -  IL Lic. #0006220  -  WI Licensed

American Portfolio Mortgage Corp.

NMLS #175656

 

Direct:  815.524.2280

Cell/Text:  708.921.6331

eFax:  815.524.2281

gmundt@goapmc.com

www.genemundt.com

 

 

 

 

  

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Gene Mundt

 Mortgage Originator  -  NMLS #216987    

                                 IL Lic. #031.0006220  -  WI License #216987                                                                                                    

NMLS #175656

 

Gene Mundt, Mortgage Originator,  40+ years of #mortgage experience, will offer you exemplary mortgage service and advice when seeking:  #Conventional, #FHA, #VA, #Jumbo, #USDA, and Portfolio Loans in #Chicago and the greater Chicagoland region, including:  The #Lincoln-Way Area, #Will County, (#New Lenox, #Frankfort, #Mokena, #Manhattan, #Joliet, #Shorewood, #Crest Hill, #Plainfield, #Bolingbrook, #Romeoville, #Naperville, #Wilmington, #Peotone, etc.), #DuPage County, the City of Chicago, #Cook County, and elsewhere within IL and Wisconsin. 

 

Your Referrals & Testimonials are Always Greatly Appreciated! 

 

Email Me .. to be added to my Mortgage & Real Estate Newsletter

Comments

Hi Gene Mundt, Chicago-area Mortgage Lender - www.genemundt.com Very useful informatkion for home buyers.

Bill Roberts

Posted by Bill Roberts, "Baby Boomer" Retirement Planner (Brooks and Dunphy Real Estate) over 2 years ago

Gene, as I'm sure you have, I've gotten aligned with many professionals that are very good and fairly priced....if we're not providing a total value to our clients, it doesn't matter what our specific fees are.

Posted by John Meussner, #MortgageMadeEasy Walnut Creek, CA 484-680-4852 (Mason-McDuffie Mortgage, Conventional Loans, Jumbo Loans, FHA, 203(k), USDA, VA,) over 2 years ago

Hi Gene... great explanation of what is still confusing many people, including real estate professionals!

Posted by Nina Hollander, Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor (RE/MAX Executive | Charlotte, NC) over 2 years ago

Gene I like the new Loan Estimate a whole lot more than the Good Faith Estimate we have had for almost 5 years.  It breaks things down far more than the old GFE and is a lot easier to understand.

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) over 2 years ago

Bill Roberts ... thank you.  Important for Borrowers to know they do have options ...

I only wish more Borrowers would ask for referrals, John Meussner ... because yes, there are many great professionals that I can recommend.  Professionals that will provide them quality service at reasonable prices ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Never hurts to go over these things, Nina Hollander ... for first-timers certainly ... and yes, even some professionals ...

Exactly the outcome that was hoped for, George Souto ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Thanks for the information Gene.  However, it is very difficult for buyers to know where to turn to "shop" for these fees.  Any suggestions for buyers on how to go about this?

Posted by Joan Whitebook, Consumer Focused Real Estate Services (BHG The Masiello Group) over 2 years ago

Good morning Gene Mundt, Chicago-area Mortgage Lender - www.genemundt.com ,

Excellent guide for consumers. I too feel the Loan estimate is much more detailed than the Good Faith Estimate was and spells out fees so a buyer can shop and easily see at a glance the difference between lenders.

Posted by Dorie Dillard, Serving Buyers & Sellers in NW Austin Real Estate (Coldwell Banker United Realtors® ~ 512.346.1799) over 2 years ago

It will be interesting to see if the new laws do encourage a more competitive market and buyers doing more comparison shopping.  

Posted by Rachel Berlin, Realtor serving Pittsburgh's North Hills (Berkshire Hathaway Home Services) over 2 years ago

Yes, buyers can definitely shop to get the best overall mortgage (including fees).

Posted by Kat Palmiotti, The House Kat (Grand Lux Realty, 914-419-0270, kat@thehousekat.com) over 2 years ago

Gene Mundt, Chicago-area Mortgage Lender - www.genemundt.com sharing his loan stop & shop savvy...must knows for the borrowers out there

Posted by Richie Alan Naggar, agent & author (people first...then business Ran Right Realty ) over 2 years ago

Gene, so many buyers simply don't know these things. They rely upon those they trust to help them get a mortgage loan. Sadly, as you know, many of those they trust also help their self to make more money off their clients. 

Posted by Kathleen Daniels, San Jose Homes for Sale-Probate & Trust Specialist (KD Realty - 408.972.1822) over 2 years ago

Nice job as always Gean ant keeping a difficult topic simple.  It's a good life in real estate with professionals like you.

Posted by Joe Kenny, Better Than Your Average Joe (Realty Executive Midwest) over 2 years ago

Lenders are like insurance agents. You have to keep shopping till you get what you want.

Posted by Bill Reddington, Destin Florida Real Estate (Re/max Southern Realty) over 2 years ago

Nice breakdown on the variable costs of borrowing, Gene. Buyers need to ask questions, and be aware that they do have options.

Posted by John Novak, Henderson, Las Vegas and Summerlin Real Estate (Keller Williams Realty The Marketplace) over 2 years ago

Thanks for a great article!!!

It's important for Borrowers to know:  They can "shop" other Fees charged within the financing of their home loan as well ...

Posted by Sham Reddy, CRS (H E R Realty, Dayton, OH) over 2 years ago

Gene Mundt, Chicago-area Mortgage Lender - www.genemundt.com - Excellent post. Well done. Good information for buyers / lenders to shop around.

Cheers,

 

Tom

Posted by Thomas F. Scanlon, CPA, CFP (Borgida & Company P. C., CPA's) over 2 years ago

Joan Whitebook ... best place to shop, IMO ... is starting with the Attorney, who should be able to advise in this regard.  IF an Attorney is involved in your State, of course.  Agents are another great resource .. and then there is the comparisons of Title Companies themselves.  Not always easy to do at times, but worth the accomplishment if it saves money.

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Dorie Dillard ... the idea was to simplify comparisons.  Hopefully it is accomplished for clients ...

Rachel Berlin ... those Buyers/Borrowers thoroughly involved in their process will be well-served by these changes ... and options.  Hopefully many are motivated to do so.  Well-priced fees .. paired with quality service ... is key. 

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

It truly is a "recipe" of things that enter in this decision, Kat Palmiotti ...

Hoping this "share" helps in the saving of money, Richie Alan Naggar ...

Gene 

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

As with many professions, Kathleen Daniels ... there are those you CAN trust .. and should.  THEY are the ones that make every penny you pay them worth the expenditure.  

And sadly, there are the others.  And they are often paired with those you speak of.  Maybe because that is what they rely upon to secure business?  Not their expertise, quality service, or knowledge ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Thanks so much, Joe Kenny ... appreciate your kind words and support.  Hope you and yours have a wonderful Thanksgiving ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

I would say that ... and add you shop until you get what you truly NEED too, Bill Reddington ...

John Novak ... it's something that sometimes surprises Borrowers.  Options?  Who would have thought???

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

You're welcome, Sham Reddy ...

You're absolutely right, Thomas F. Scanlon ... Lenders can be a resource of info during these times ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Gene, Another well presented piece.  It always surprises me at how little preparation for the mortgage lending process most buyers have done.  A home is arguably the largest financial obligation for most folks, and yet they come to me with very little prior preparation for the mortgage process.  Keep up the good works.

Posted by David A. Weaver, 24 years helping folks finance their dreams. (Peoples Bank & Trust Co.) over 2 years ago

Thanks so much for the thumbs-up, David A. Weaver ... and you're right.  Statistics back your assessment up.  People spend more time picking out shoes than they do their Lender ... crazy and frustrating ...

Gene 

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

And to think you explained that on one page! Our disclosures continue to get larger and larger.

Borrowers can shop for some things and it is important for them to know. I have one now where the seller wants them to use a family friend for title and closing. He won't save them any money and will not be familiar with this lender, but it is their choice. 

Posted by Dora Griffin, NMLS 6380 (D A Griffin Financial.LLC) over 2 years ago

Getting harder and harder to explain anything quickly .. and without asteriks,  Dora Griffin!   We keep trying, right??  And what you describe happens unbelievably frequently.  NOT the way to choose those you work with or for their services ...

Gene  

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Good morning Gene. Very well done post. I am really liking the LE and CD. Having my 6th closing today, only one of them was a real challenge, was because closing attorney office did a poor job.

I like the LE  and CD process.

Posted by Joe Petrowsky, Your Mortgage Consultant for Life (Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709) over 2 years ago

Unfortunately, that happens fairly often.  Getting attorneys onboard can be a struggle. But so far, the changed documents get a thumbs-up ... so that's good.

Glad to hear that you're busy too.  Lots of people trying to get in to homes heading into the Holidays.  Lots to be thankful for ...

Enjoy your Thanksgiving,  Joe Petrowsky ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Gene Mundt, Chicago-area Mortgage Lender - www.genemundt.com, those options are available in Virginia too which is why my SERVICE is so important.   Buyers also have the right to pick their lender. 

Posted by DEANNA EARLY - ( NMLS #268590 ), Virginia Mortgage Loan Originator (American National Bank and Trust) over 2 years ago

So true, Deanna Early ...  Service paired with the percentage of successful closings of loans is something Borrowers must know and consider before choosing a Lender.  It's not all about rate!

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi   Yes, flex away but not too long. Once you find the home you want --  don't want to lose your place in a competitive market. Only so many days to get the loan once the Contract is accepted. L.

Posted by Lynn B. Friedman, Concierge Service for Our Atlanta Sellers & Buyers (Atlanta Homes ODAT Realty Call/Text 404-939-2727 Buckhead - Midtown - Westside -- and more ...) almost 2 years ago

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