Home | Ask Your Question | Mortgage Glossary
Find me a lender for:  

Definition of Origination Fee from Mortgage Glossary

Origination Fee

Charge by a lender or broker connected with originating a loan; charged to prepare loan documents, make credit checks, inspect and sometimes appraise a property; usually computed as a percentage of the value of the loan.

Loan origination fee usually varies from 0.5% to 2% of the loan amount, depending whether the loan was originated in the prime or the subprime market.

By showing fee’s as origination fee’s, lenders can actually lower the point total they charge you, while inflating the amount of origination fees’ they charge you.

When dealing with a lender, make sure to ask what the total amount of fees are that are derived from a percentage of the total loan amount.

Points

Good Faith Estimate

loan to be paid off. Predatory lender will wait until emergency, job loss, medical or any other "unexpected" expense to disrupt your ability to handle loan payment and may start foreclosure even if you get a couple weeks behind.

You'll be re-directed to Loan Savings Solution Web Site

>>>>
<<<<

Books about:

Search More Info On:

  • origination
  • loan origination
  • loan amount
  • origination fee
  • loan origination fee
  • origination fees
  •  
    Related Mortgage Definitions:
    Bridge Loan
    Bridge Loan A bridge loan is a short-term loan, usually a second mortgage, run for 6 month but may be taken taken out for a period of 2 weeks to 3 years. The borrower's current home (which is usually "for sale") is ... more...

    VA Loan
    VA Loan A VA loan is a mortgage loan in the United States guaranteed by the US Veterans Administration. The loan may be issued by qualified lenders. Available only to veterans possessing a Certificate of Eligibility. Purchasing a home with a VA Loan is not as difficult as ... more...

    Non Conforming Loan
    Non Conforming Loan A loan that does not meet the Fannie Mae or Freddie Mac underwriting guidelines. This is also known as a portfolio mortgage. The loan can't be sold on the secondary market so it must keep it and service it in its own portfolio. Non-conforming loans have ... more...

    Origination Fee
    Origination Fee Charge by a lender or broker connected with originating a loan; charged to prepare loan documents, make credit checks, inspect and sometimes appraise a property; usually computed as a percentage of the value of the loan. Loan origination fee usually ... more...


    More on loan...