Posts Tagged ‘hazard insurance

Buyers’ Real Estate Closing Costs for Wash DC and MD (Mont. Co.)

Tuesday, November 10th, 2009

Usually rolled into the loan*** $_____________ 903 -Hazard Insurance Policy (1 year) … $____________ 1001 -Hazard Insurance (2 months premium) $_____________ …

Continued here: 
Buyers’ Real Estate Closing Costs for Wash DC and MD (Mont. Co.)

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FHA 203k Loan Closing Costs – Am I being ripped?

Thursday, June 11th, 2009

The tale of my home buying process in today's marketplace has all the elements of a best selling tale! But, I will cut to the immediate dilemma I am facing.

On a home which has a leaking roof, no appliances and some maintenance issues, conventional mortgage is ruled out (or so I am told). The only options are buy with cash or buy with a 203k kind of a loan. Since I dont have that much cash, i chose to go for a 203k loan.

I approached a broker and a well known Retail bank for such a loan. I got GFE from both and chose to go with the broker since there costs were significantly lower than the Large Retail Bank. The difference was primarily a large chunk of loan discount points.

I received my HUD-1 couple of days back (after a long delayed funding processs, where I had to seek 3 extensions on the closing date from the seller who is a Bank), which is another tale altogether. I was surprised to see about $ 40k in all closing costs on a loan of 465k (I live in San Diego). Largest surprise was a MANDATORY 2.5 points in Loan discount and about 2k in various processing and admin charges. [Of course, the Hazard Insurance is another 3.5k because of wooden, leaking roof, but that can be taken care of honestly quickly]. There is one point in Origination, but that was told upfront.

Now, my broker tells me that this is the best they can do inspite of the incorrect GFE, since they say this is absolutely the best deal I can dream of having on a 203k loan, which evidently no lender wants to do (shows!).

I have 2 choices – I can walk away from the broker/ lender and find a new one (question for another extension from seller) or suck it up pay everything as I am being questioned for (and maybe go legal after i buy the home for predatory lending practices).

My question to the experienced folks out there – Are 203k loans really this expensive? I am paying $ 18k in origination points and fees and a 1.75% (changed from 1.5% till dec 2008) in PMI to FHA apart for the other normal / prepaid costs.

Secondly, does anyone know of any alternatives where I can get to buy the house and maybe get a second line of credit for making repairs on the house or should i just try and approach a more reasonable lender who does 203k?

Any help will be greatly appreciated. I have been trying to solve this since late October and a part of me is desperate for a choice – excellent or terrible.

Thank you.

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  1. If your vehicle is a traffic hazard and you have accident warning devices like flares or triangles, put them out on the road to warn other drivers and get away from the car. Let the police an other emergency personnel ... Donâ??t decline the ambulance or hospital examination to save your insurance company money or to be stoic. Take your valuables out of your car if you can and get checked out at the hospital. If you are not hurt, donâ??t get treatment you donâ??t need. ...

  1. Warn oncoming traffic by activating your hazard warning lights and/or setting flares if you have them. 2. Call the police. Call 911 or the appropriate emergency number to report the accident. 3. Contact your insurance company and report ...

  1. And certainly there is none of the higher-order mathematical-type thinking involved in cost-benefit analysis ad risk management and moral hazard and unintended consequences and the free-rider problem and so on. ... Of course, an insurance company has to be able to refuse NEW customers with "pre-existing conditions." Otherwise, everyone would just wait to get sick to buy insurance. It's the same reason you can't buy fire insurance on a house that's already on fire. ...

  1. If your vehicle is a traffic hazard and you have accident warning devices like flares or triangles, put them out on the road to warn other drivers and get away from the car. ... Seventh, call a good pedestrian accident attorney as soon as you have had your initial treatment, so the lawyer can gather other important evidence and prevent the insurance company from taking advantage of you and obtaining such things as recorded statements that you feel fine, when many of your ...

  1. The area dogs as well as cats can be a teenager hazard when it comes to a reserve of your poultry, which is because insurance is so important. While a trained pets in your area competence usually be a tiny threat, there have been most ...

  1. 9 Malcolm Gladwell, ?The Moral-Hazard Myth: The Abominable Idea Behind Our Failed Health Care System,? reprinted with permission from The New Yorker, Life, Health & Disability (December, 2005). 10 William Copeland, Jr., ...

  1. If it does not then you may find water seeping in and also it will become a serious hazard. As with any service it pays to get quotes off as many firms as possible. In Phoenix there are many auto glass repair specialists; you are almost ...

  1. If your vehicle is a traffic hazard and you have accident warning devices like flares or triangles, put them out on the road to warn other drivers and get away from the car. ... Seventh, call a good auto accident lawyer as soon as you have had your initial treatment, so the attorney can gather other important evidence and prevent the insurance company from taking advantage of you and obtaining such things as recorded statements that you feel fine, when many of your ...

  1. If your vehicle is a traffic hazard and you have accident warning devices like flares or triangles, put them out on the road to warn other drivers and get away from the car. Let the police an other emergency personnel ... Fourth, get the other driver's information including their names, addresses, driver's license numbers, make and model of their vehicles, license plate numbers, and their insurance company name and policy number. If there are witnesses, get their names, ...

  1. PMI (Private Mortgage Insurance) is another factor in a bad credit mortgage, especially for those who have a higher LTV (as explained above). This insurance differs from your hazard insurance, as that's bought from an insurance agent to ...