Hi – I’ve heard about lenders lately who will offer a mortgage with a certain fee attached that is tied to the loan amount. This is often when you won’t quite qualify for their best products or it may be from a lender who is trying to reduce risk by tacking on fees. The 1% refers to a 1% of the total loan amount as a fee. In other words, in a loan that is $200,000, the 1% would be $2,000. These fees are usually “rolled in” which means added to the loan amount. So your loan amount would be $202,000 instead of $200,000. In our app, you would enter this loan amount that includes the fees in order to compare to other offers. Make sense? Let us know if you have additional questions.
Reply To: My quote has a 1% fee. What does that mean?nhamilton2020-10-28T17:36:08+00:00