Hey all, I have not closed a conventional mortgage for investment purposes before. I currently have a deal under contract and am working with a lender. I used this lender before for my personal residence and was pleased with them but currently they are wanting to charge me 7K in fees on top of closing costs. I have a duplex under contract for 215K, 25% down (54k), closing is 7K, and lender points and fees are 7k for a total of $68,000. Interest rate is around 7.125%.
Do these fees seem unusually high or am I just out of touch with current lending costs? Any thoughts appreciated.
Hey all, I have not closed a conventional mortgage for investment purposes before. I currently have a deal under contract and am working with a lender. I used this lender before for my personal residence and was pleased with them but currently they are wanting to charge me 7K in fees on top of closing costs. I have a duplex under contract for 215K, 25% down (54k), closing is 7K, and lender points and fees are 7k for a total of $68,000. Interest rate is around 7.125%.
Do these fees seem unusually high or am I just out of touch with current lending costs? Any thoughts appreciated.
Thanks
Hey @Josiah Guyer! I somewhat figured where you were going when you started by comparing the costs of an investment property loan to your "personal residence". You're comparing apples to oranges.
Before anyone can say if the closing costs are "too high", can you say whether this investment property loan is with a bank/credit union or a hard/private money lender?