Loan Origination Fee
Question: Hi and thanks for any help you can provide.
I’m purchasing a house in Ohio. The sale price is 165K, and the house appraised at 170K. We’re going the 80/15/5 route (with 5% down). I have good credit (reported at 766). I am moving to Ohio from Tennessee, and changing jobs (I’ve been at my current job for 5 years, but will be starting a new on on Dec 13th).
The broker told me yesterday that the bank was adding 1/4 % to the Loan Origination Fee because I’m changing jobs. Is this a standard thing? I mean I could see if I had bad credit or a history of jumping around from job to job, but I don’t.
Answer: Lenders like to see at least a year for time on job. It would be reasonable for them to ask for a higher rate to cover the higher statistical risk. It would be just as reasonable for you to shop around and find a different lender that has a better deal. If a lender feels that they “got you” somehow, and you have no other choice, they might be tempted to put the screws to you.
Related Posts
Filed under: Bad Credit Loan
Leave a Comment
XHTML: You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>
TrackBack URL | RSS feed for comments on this post.