Mortgage Broker Fee, How much?

[ray999]

How much does a mortgage broker usually charge? I'm in New York and am trying to work with this broker, but I want to know what I should expect his charge to be. Thanks.

Ray

[ray999]

P.S. It's on a 575k loan

[CafeMonkey]

I usually see one point, if you are working with a broker. It's cheaper to go right to a bank, but then you don't get the product selection.

The catch is that the broker usually has "processing fees" at closing, and then the mortgage company usually has additional "Loan origination fees" that add up, and you don't usually see the end numbers until closing.

[havos]

I disagree about mortgage brokers! First and formost with that type of a loan amount it would be real easy to close without any out of pocket expenses, by using the yeild spread primium to cover the title, escrow, etc. fees. Brokers are far more competitive then any bank out there and offer a wider selection of products. We also are offered interest rates at a whole sale level, were banks offer them at a retail about a .50-.375 difference higher then a broker. Also if you want personalized service you go to a mortgage broker, if you want a 800 to call for updates you go to a bank. The question is far to broad for a direct responce, but if you qualify for a bank loan, a good mortgage broker is your best bet. Seasoned borrowers go first to a reputable broker. It does not hurt to shop around though.

[kensmith]

I'm with havos on this one. A good broker will always beat the banks on a mid to large loan. The easiest way to find out is to talk to a broker and ask what to expect.

[financial_ae]

I am a broker and a Bank AE, go with the bank and if you have accounts with them they'll treat you better... If you bank with BOA call me 786-4575727, I can help with the loan

[Eddie]

I also agree with Havos on this one. As a consultant there are more options to provide to clients.

Eddie Lake
Commercial Financing Consultant
407-970-1295

[AZLender]

Banks cannot compete with brokers. On HELOC's yes, everything else, not even close. If you were to go to Bank of America and get a loan you would pay 1/2 point higher in rate and much higher closing costs than we as brokers would be able to give you through that same banks wholesale division.

[AaronSOLD]

Is it just me or are more mortgage guys on these forums lately?

[AZLender]

That's not necessarily a bad thing. I know I wouldn't want to take financial advice from a realtor. Now, if I wanted a babysitter or someone to show me the pretty countertops and shiny toilets, you might come in handy.