A buyer is purchasing a $350,000 home in Miami-Dade County with a 20% down payment. The lender requires an origination fee of 1% and discount points of 0.5%. The buyer will also pay for a survey ($450), home inspection ($500), and attorney fees ($800). What is the total amount of lender-related fees the buyer will pay at closing?
Correct Answer
B) $4,200
Correct: The loan amount is $280,000 (80% of $350,000). Origination fee: $280,000 × 1% = $2,800. Discount points: $280,000 × 0.5% = $1,400. Total lender fees: $2,800 + $1,400 = $4,200. Why not A: This only includes the origination fee. Why not C: This incorrectly includes non-lender fees. Why not D: This uses the full purchase price instead of loan amount.
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- → A Florida buyer agrees by contract to pay a survey of $575, an inspection of $350, an appraisal of $650, and prepaid interest of $635. What is the buyer's total for these agreed costs?
- → In Florida real estate transactions, all of the following are typically paid by the buyer at closing EXCEPT:
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- → A buyer in Palm Beach County is purchasing a waterfront home for $850,000 with a jumbo loan of $650,000. The lender charges 1.5% origination fee, 0.75% discount points, and a $1,200 underwriting fee. The documentary stamp tax on the deed is $3.00 per $1,000, and intangible tax on the mortgage is $2.00 per $1,000. If the buyer pays all lender fees and intangible tax, while the seller pays deed stamps, what is the buyer's total cost for these items?
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Previous Question
Training example Harbor Lesson asks the question this way. A Florida closing statement lists deed documentary stamp tax of $2,100, note documentary stamp tax of $700, nonrecurring intangible tax of $560, and recording fees of $110. If one party has agreed to pay all four listed charges, what is that party's total?
Next Question
In Broward County, a seller is selling their home for $425,000. The documentary stamp tax on the deed is $3.00 per $1,000, and the intangible tax on the new mortgage of $340,000 is $2.00 per $1,000. If the seller pays the deed stamps and the buyer pays the intangible tax, what is the total documentary stamp cost for this transaction?