Request a FREE Special Report! Closing Costs There are certain standard costs associated with closing the sale of a house.  These fees are split between the buyer and the seller, as spelled out in the sales contract.      As we negotiate the sales contract for you, we will not only work to get the sales price you want, we will also work to limit the number of closing costs for which you will be responsible.      We will walk you through the closing costs, answering any questions you may have explaining which costs are decreed by law to be yours and which are negotiable.       Good Faith Estimate      Buyers will receive a "Good Faith Estimate" of closing costs at the time the loan application is  submitted to the lender.  The estimate is based on the loan officer's past experience and may not include all the closing costs. We'll be glad to review the "Good Faith Estimate," answering questions and highlighting missing costs and estimates we believe to be low.    Standard Closing Costs  Loan-Related Costs Loan Origination Fee  Points (optional)  Appraisal Fee  Credit Report  Interest Payment  Escrow Account  Taxes Property Taxes  Transfer Taxes and Recording Fees  Insurance Homeowners Insurance  Flood Insurance  Private Mortgage Insurance (PMI)  Title Insurance    How to Reduce Your Mortgage One Additional Mortgage Payment a Year There is a simple trick to significantly reduce the length of your mortgage and save you thousands of dollars.  The trick is to make one extra mortgage payment a year and apply that payment toward your loans principal. This is the method being used by "Bi-Weekly Mortgage Reduction Services" and "Bi-Weekly Mortgage Saving Programs".  Only, when you do it yourself, you don't pay a third party unnecessary set-up costs and fees! Example: $100,000 loan, 30-year mortgage, 6.5% fixed interest rate Extra Mortgage Payments/ Year Principal & Interest Additional Monthly Payment SAVINGS Total Paid # of Years 0 $632.07 0 0 $227,542.98 29.92 / 359 mos. 1 $632.07 $52.68 $29,088.02 $198,454.96 24.12 / 290 mos. 2 $632.07 $105.35 $46,492.13 $181,050.85 20.5 / 246 mos. 3 $632.07 $158.02 $58,320.95 $169,222.03 17.92 / 215 mos. 4 $632.07 $210.69 $66,969.79 $160,573.19 15.92 / 191 mos. 5 $632.07 $263.36 $73,607.77 $153,935.21 14.34 / 172 mos.   One-time Payment It may not be possible for you to increase your monthly mortgage payment. Keep in mind that most mortgages will permit you to make additional payments to your principal at anytime.  Perhaps, five-years after moving into your home you receive a larger than expected tax return, or an inheritance or a non-taxable cash gift.  You could apply this money toward your loans principal, resulting in significant savings and a shorter loan period. Example:  With a $100,000, 30-year, 6.5% fixed interest rate mortgage loan, the borrower will pay a total of $227,542.98 to pay back the loan in 30 years.  That equals $127,542.98 in interest payments. If the same borrower makes a one-time $5,000 payment the first day of year 6, he/she will pay a total of $204,710.75 and pay off the loan in 27 years (324 months). That is a savings of $22,832.23 in interest.                            All rate, payment, and area information are estimates and approximations only.